This is simple to explain with a thought-experiment. Suppose you owned a Widget factory. If your Uncle Sam gave the factory a million dollars, would you use that money to hire more workers? Why - what would you have them do? Suppose the money went directly to you - would that make any difference?
Now look from the other side - what would make you hire more workers? Maybe if people wanted more Widgets, you would need more workers to make them. And how could Uncle Sam increase demand for Widgets? Maybe by giving that money to… consumers?
Actually, this is why stimulus money should go to the poorest people. They won’t save it, they will spend it, and that’s what creates jobs. QED
