Where's the Stimulus?

The Commerce Department recently reported that the personal savings rate jumped to 6.9% in May, up from 5.6% in April. Analysts have attributed the increase partly to government payments to senior citizens under Obama's "stimulus" plan.

But if people save the "stimulus" money they get, it isn't doing what the advocates of such "stimulus" spending hope for - which is for consumers to spend the additional income.

Instead, if people save the money, they are offsetting the borrowing by the government to pay for the "stimulus", negating its impact.

But it's no big deal; it isn't as if we just spent $787 billion on the "stimulus" plan.