[1] Developed in response to the longest and deepest economic recession post World War II, the primary objective of the stimulus package was to provide the economy with a boost.

The bill's rationale was based on Keynesian economic theory, providing tax reductions and increasing jobs to boost private spending, preventing the economy from any further slowdown.

The package was drafted by Treasury Secretary W. Michael Blumenthal; Charles L. Schultze, chairman of the Council of Economic Advisers; and Budget Director Bert Lance.

Charles L. Schultze, chairman of the Council of Economic Advisers, justified the removal claiming that the economy appeared to be more stimulated than anticipated and the provisions were redundant.

Senator Bellmon said by withdrawing the cornerstone of his stimulus package; the President has left the budget process "with egg on its face."

In response to these statements, Michael Blumenthal defended the removal by stating that there was a growing belief within the team that leaving the rebate in would be "unwise".

[11] The initial bill also included a $50 per person tax rebate, which Carter proposed during his campaign, claiming that it would better help stimulate the economy.

However, they were faced with heavy criticism when introduced to the House committee, arguing the impact of the rebate and considerations for more favorable alternatives such as a permanent tax cut.

[12] The provision's removal was faced with heavy criticism from both sides of the party, as Congress had to amend its 1977 budget process in order to integrate the bill.

[10] On 13 May 1977, President Carter hosted 25 mayors from the country's most financially struggling cities to watch him sign the $20.1 billion bill into law.

The added funds helped to expand the role and capacity of the Job Corps, a program operated by the Department of Labor that provided education and vocational training to youths between the age of 16 to 24.

[17] Initially, when the bill was first introduced, Arthur F. Burns, the Federal Reserve Board chairman, was critical of President Carter's economic program.

[19] Professor Milton Friedman of the University of Chicago favored permanent income tax cuts as compared to job creation through federal spending.

[4] Friedman claimed that it would help to eliminate the "real tax burden" or government expenditures that the stimulus package would have inflationary effects on the economy and will fail to improve employment.

[4] For the first draft of the bill, the CBO estimated that the impact of President Carter's economic stimulus would contribute an additional $14 billion to the gross national product (GNP) in the first year.

[23] Schultze presented in front of a congress committee, stating that with the stimulus in place, the country's real GNP would be from 5% to 6% between the fourth quarter of 1976 to 1977.

[6] While more than 2.0 million people participated in CETA programs which helped to reduce the unemployment rate, disparities were still present across genders, races and locations.

[8] A further study done by senior Carter Administration Treasury official Emil Sunley and economist Ned Gramlich stated that the bill had little effect.