The $787 billion dollar Stimulus not only didn’t stave off a depression, it tripled the deficit in one year. To begin with, economists never predicted a depression.
“…White House economists forecast in January 2009 that, even without a stimulus, unemployment would top out at just 8.8% — well below the 10.8% peak during the 1981-82 recession, and nowhere near Depression-era unemployment levels… The same month, the Congressional Budget Office predicted that, absent any stimulus, the recession would end in “the second half of 2009.” The recession officially ended in June 2009, suggesting that the stimulus did not have anything to do with it.”
President Obama has said that the recession turned out to be worse than anyone thought – not so. “…various indicators show that the economy had pretty much hit bottom at the end of 2008 — a month before President Obama took office…”
Monthly GDP, for example, stopped free-falling in December 2008, long before the stimulus kicked in, according to the National Bureau of Economic Research. (See chart.) Monthly job losses bottomed out in early 2009 while the Index of Leading Economic Indicators started to rise in April.
“…When the recession officially ended in June 2009, just 15% of the stimulus money had gone out the door…Other programs Obama often touts — Cash for Clunkers, mortgage help, homebuyer tax credits, the auto rescue plans — either came as the recession had ended or was ending or were widely deemed to be busts.” Read here: Investors.com