Quick Hit Adam Doster Wednesday July 21st, 2010, 11:21am

How Stimulus Signs Stimulate

Even after the House voted it down last week, GOP Rep. Aaron Schock is continuing to promote his proposal to cut off funding for road signs that identify infrastructure projects funded by the stimulus bill. On Fox News' morning show today, he decried the Obama administration's "self-promotion and propaganda." Watch it:

What's wrong with Schock's proposal? Let's begin with the estimated "waste;" despite Schock's outsized claims, just .02 percent of the $28 billion spent on road projects was devoted to signage, according to ABC News. In Illinois, the total cost was roughly $665,000, a drop in the stimulus bucket. Moreoever, the signs are manufactured ... by American workers ... some of them even from Illinois. In other words, the government is commissioning a product that wouldn't otherwise be built -- the whole goal of the stimulus. (Fox News co-host Steve Doocy, for what its worth, grossly misinterpreted the ABC news report cited above in the interview with Schock.) It's also important to remember the role advertising plays in consumer behavior. "Stimulus works in part through expectations," writes Matt Yglesias, "so informing people about its existence is important."

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