Literally every single day there is an article talking about the end of enhanced unemployment benefits and other government handouts related to this economic shutdown and skyrocketing unemployment. They continue to talk about it as if the next multi trillion dollar stimulus bill will not include any more handouts especially extending unemployment benefits along with enhanced unemployment benefits at $600 extra a week. Ifffffff they don't extend enhanced unemployment benefits, don't do another 4, 5, or 6 trillion dollar stimulus bill or other handouts the markets will easily see 10-15% drop...... But let's be clear these articles they have been writing for weeks on this topic are a complete waste of pointless fuxking dribble, why? Because they are NOT going to let any of these programs run out, enhanced unemployment benefits and everything else will be extended well, well, well, well into 2021. There is a 99.8% chance they pass it and trump signs off on it sometime in mid to late July. . So no worries about any market.drop relating to these pointless articles. Markets will in fact rally and rally very hard on the next stimulus and extended government handout stimulus plan approval sometime in mid July. Millions of Americans will fall off an ‘income cliff’ when extra $600 in unemployment benefits ends next month Published Tue, Jun 23 20204:49 PM EDT https://www.cnbc.com/2020/06/23/mil...-month-when-extra-600-dollars-in-ui-ends.html
The biggest mistake this administration did was add that extra 600 bux per month to unemployment claims that would have paid their exact salary. Morons, all of them. They shot themselves in the foot with this boondoggle.
I have read that between 40-60% of unemployed could be making more than when they were working... Two-thirds of laid-off workers may temporarily be receiving more money in unemployment benefits than they did from their jobs Published: May 30, 2020 at 11:43 a.m. ET https://www.marketwatch.com/story/a...efits-than-when-they-were-employed-2020-05-26
68%, also they are not required to be in the status "looking for a job" to get benefits, because of constraints to look for a job from pandemic lockdowns. Should be positive for wage growth for some time because this move takes off some supply pressure on the labor market.
That was not the only mistake. The entire stimulus program was a shot gun approach and as a result it will be a financial disaster. The US Government spent 4 Trillion dollars on aid for 2 months and a 22% decline in our GDP. Our GDP is about 20 Trillion. Or another way: the US Government spent 20% of our GDP to solve for 22%* 2 / 12 = 4% wealth loss. That's how fiscal conservatives run by a "successful" businessman do things.
Let me get this straight. Throwing those crumbs to the working class, people who were literally told that they can't go to work, was a fiscal mistake? Meanwhile, you all haven't uttered a word about the $2.2 Trillion that Wall Street got before the idea of a stimulus or enhanced unemployment benefit even came up. I guess you all don't have a problem with that one, am I right? Is it only wasteful when money goes towards helping the people who actually make our economy go...the working people?
I don’t want to put words in @newwurldmn mouth but pretty sure he’s just as unhappy about the asset support as about the enhanced unemployment. The amount of money spent on this, both in terms of QE or various handouts will haunt us for a long time. Out of these things, money spent on income support is the least problematic - in fact, we probably would have been better of with spending all of that money on UBI of some sort instead of various corporate handouts.
Uh ohhh. No worries congress is going to extend this so this article is just dribble. https://www.cnbc.com/2020/06/26/the-extra-600-unemployment-benefits-will-end-before-july-31.html
%% Good points -except that was congress; many in administration came from private sector + know how to make money.I wondered exactly why congress was rewarding lazy-election year bribe??