Money from the government, maybe

Recession

Assuming it all passes, it appears each adult will get up to one check for up to $1,200 and there will be up to four months of unemployment benefits to be extended even to self-employed workers.[1] My advice remains, believe nothing until you have the U.S. Treasury check in your hot little hands. And it’s likely a long ways short of what’s really needed.[2]

What is needed is not a “stimulus,” as the rescue package announced early Wednesday was called, or one-time payments to businesses and workers, but rather an across-the-board suspension of private debt payments and a nationwide program under which the government directly reimburses pay to laid-off employees, as other countries have done, some critics say. Only such an unprecedented government intervention can prevent permanent economic devastation from the virus-induced work stoppage, even if U.S. President Donald Trump manages to reopen parts of the economy in the next several weeks in defiance of his health experts, as he said Tuesday he was eager to do.[3]

Manu Raju et al., “White House, Senate reach historic $2 trillion stimulus deal amid growing coronavirus fears,” CNN, March 25, 2020, https://www.cnn.com/2020/03/25/politics/stimulus-senate-action-coronavirus/index.html

Michael Hirsh, “Is $2 Trillion Too Little, Too Late?” Foreign Policy, March 25, 2020, https://foreignpolicy.com/2020/03/24/us-congress-2-trillion-rescue-package-too-little-too-late/


  1. [1]Manu Raju et al., “White House, Senate reach historic $2 trillion stimulus deal amid growing coronavirus fears,” CNN, https://www.cnn.com/2020/03/25/politics/stimulus-senate-action-coronavirus/index.html
  2. [2]John Cassidy, “What Would a Proper Coronavirus Stimulus Plan Look Like?” New Yorker, March 14, 2020, https://www.newyorker.com/news/our-columnists/what-would-a-proper-coronavirus-stimulus-plan-look-like; James Hamblin, “What Will You Do If You Start Coughing?” Atlantic, March 11, 2020, https://www.theatlantic.com/health/archive/2020/03/where-do-you-go-if-you-get-coronavirus/607759/; Michael Hirsh, “Is $2 Trillion Too Little, Too Late?” Foreign Policy, March 25, 2020, https://foreignpolicy.com/2020/03/24/us-congress-2-trillion-rescue-package-too-little-too-late/; Michael Hudson, “A debt jubilee is the only way to avoid a depression,” Washington Post, March 21, 2020, https://www.washingtonpost.com/opinions/2020/03/21/debt-jubilee-is-only-way-avoid-depression/; Isabel V. Sawhill, “The middle class faces its greatest threat since the 1930s,” Brookings, March 20, 2020,https://www.brookings.edu/opinions/the-middle-class-faces-its-greatest-threat-since-the-1930s/
  3. [3]Michael Hirsh, “Is $2 Trillion Too Little, Too Late?” Foreign Policy, March 25, 2020, https://foreignpolicy.com/2020/03/24/us-congress-2-trillion-rescue-package-too-little-too-late/

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