Unfortunately the EPI site doesn’t allow me to directly link to the memo which set those criteria. There are explications for them, however, which adress december’s questions:
#2 (fiscal responsibility): “The purpose of any good stimulus package is only to get the economy rolling again so that the private sector can play its role in restoring economic growth. For this one-time, short-run objective, permanent, ongoing measures are inappropriate…”
#4 (fairness): “…one criterion for favoring one stimulus plan over an equally effective one should be that the favored plan avoids exacerbating income inequality and, wherever possible, acts to lessen current inequalities…”
#5 (unmet needs): “Another goal of any good stimulus plan should be to meet, where possible, unmet social needs…”
I tend to agree with #2 as a good criterion, but while I agree with #4 in principle, I don’t think it’s an absolute necessity for economic stimulus. And #5, though certainly an attractive “best case” ideal, has no bearing on the efficacy of an economic stimulus plan. Sure, it’d be groovy, but it’s an added task.
IOW, I support the first three criteria.
(Feels funny to agree -so far- with december in an econ thread…)