Мобильный 1 Add news
March 2010
April 2010
May 2010June 2010July 2010
August 2010
September 2010October 2010
November 2010
December 2010
January 2011
February 2011March 2011April 2011May 2011June 2011July 2011August 2011September 2011October 2011November 2011December 2011January 2012February 2012March 2012April 2012May 2012June 2012July 2012August 2012September 2012October 2012November 2012December 2012January 2013February 2013March 2013April 2013May 2013June 2013July 2013August 2013September 2013October 2013November 2013December 2013January 2014February 2014March 2014April 2014May 2014June 2014July 2014August 2014September 2014October 2014November 2014December 2014January 2015February 2015March 2015April 2015May 2015June 2015July 2015August 2015September 2015October 2015November 2015December 2015January 2016February 2016March 2016April 2016May 2016June 2016July 2016August 2016September 2016October 2016November 2016December 2016January 2017February 2017March 2017April 2017May 2017June 2017July 2017August 2017September 2017October 2017November 2017December 2017January 2018February 2018March 2018April 2018May 2018June 2018July 2018August 2018September 2018October 2018November 2018December 2018January 2019February 2019March 2019April 2019May 2019June 2019July 2019August 2019September 2019October 2019November 2019December 2019January 2020February 2020March 2020April 2020May 2020June 2020July 2020August 2020September 2020October 2020November 2020December 2020January 2021February 2021March 2021April 2021May 2021June 2021July 2021August 2021September 2021
News Every Day |

Did the Stimulus Checks Make a Difference? Hell Yes, for Many Americans.

Stephen Silver


Without the stimulus, many households would have been unable to absorb the financial shock of the pandemic. 

The Federal Reserve released a much-shared piece of data in 2019, finding that a full forty-one percent of households, with people aged 25 to 64, did not have enough money saved to pay for a $400 surprise expense. It’s part of an annual survey, called the Survey of Household Economics and Decision-making, which is released by the Fed each year.

The pandemic and the advent of stimulus payments seem to have changed that.

That’s according to a recent report put out by Boston College’s Center For Retirement Research.

“Before COVID-19, many households said they would have trouble paying a $400 unexpected expense,” the introduction to the Boston College research said. “While the final impact of the three stimulus payments will not be known for several years, preliminary data suggest that: the first check served as a lifeline to cover essential bills; and the second and third checks helped many, even those who lost their jobs, build up savings or pay off debt.”

The continuing question, the study said, is how long those effects will remain in place.

The study itself went deeper into the data.

“The question is, how did households use these payments? Households that lost income during the pandemic likely needed the Economic Impact Payment (EIP) checks to make ends meet,” the Center for Retirement Research said. “While temporary COVID-19 Unemployment Insurance (UI) programs provided an additional $600 per week in benefits, these additional benefits expired in July 2020 and a second round was not approved until late December. Without the federal supplement, average UI payments typically replace less than half of lost wages, so the EIP checks were likely crucial for those who lost their jobs. In contrast, for households that kept their jobs, these payments could provide a much-needed financial buffer.”

The conclusion of the study was that the checks did indeed make a difference.

“Before COVID-19 put a halt to the economic expansion, about forty percent of U.S. households had little set aside to absorb financial shocks and many carried high-cost credit card debt. Living on such a tight budget makes it hard for households to save for long-term goals such as retirement. The pandemic would have stretched household finances even more but, fortunately, Congress provided EIP checks totaling thousands of dollars for most households,” the study said.

“While the long-term impact of the EIP checks on household balance sheets will not be known for a few years, short-term indicators suggest that the first payment served as a much-needed lifeline for workers who lost their jobs to make ends meet and helped those who kept their jobs build precautionary savings and pay off some debt. Early indicators also suggest that many workers, even those who lost their jobs, were able to save or pay off debt using their second and third payments. The question is how long these favorable balance sheet developments will last.”

Stephen Silver, a technology writer for The National Interest, is a journalist, essayist and film critic, who is also a contributor to The Philadelphia Inquirer, Philly Voice, Philadelphia Weekly, the Jewish Telegraphic Agency, Living Life Fearless, Backstage magazine, Broad Street Review and Splice Today. The co-founder of the Philadelphia Film Critics Circle, Stephen lives in suburban Philadelphia with his wife and two sons. Follow him on Twitter at @StephenSilver.

Image: Reuters

Read also

Shuttered Venues Begin to Receive Supplemental Grants

Man Utd star Dean Henderson helps cyclist who fell off bike after crashing into fan outside training ground

Why everyone’s favorite personality test is BS

Слот 7

News, articles, comments, with a minute-by-minute update, now on Today24.pro

News Every Day

Collagen Peptides Market Projected to Deliver Greater Revenues By 2027

Today24.pro — latest news 24/7. You can add your news instantly now — here


Общение - Универсальный растворитель человеческих проблем

Новости России
Game News

How to overclock your PC


Поздняков не исключил возможность проведения ОИ-2036 сразу в нескольких городах России

Губернаторы России
Игорь Крутой

Внебрачный сын Игоря Крутого готовится впервые стать отцом

Кейт Миддлтон смогла приучить дочь к моде и экономии

Очное участие Путина в саммите G20 будет зависеть от ситуации с коронавирусом

Профессиональные советы для продвинутых начинающих Youtube

Мацуев выразил надежду на то, что «Спартак» не вылетит в ФНЛ в юбилейный сезон

Жена Джигана записала свой первый трек: «Я наконец-то решилась»

Композитор Игорь Крутой впервые рассказал о внебрачном сыне

Критик Соседов не согласен с обвинениями в адрес Моргенштерна из-за стрельбы в Перми

Яков Якубович призвал к повторным выборам в регионах, где было ДЭГ

Бублик сделал 4 эйса подряд в матче на турнире Astana Open. ВИДЕО

Даниил Медведев может пропустить "Кубок Кремля"

Соболенко впервые в карьере квалифицировалась на итоговый турнир WTA

Анастасия Павлюченкова поднялась в рейтинге WTA

В Новосибирске «Лента» открывает магазины нового формата

Новый актив Трансэнергопром: завершена сделка по покупке Чувашской энергосбытовой компании у РусГидро

Путин заявил, что Россия не допустит повторения трагедии Второй мировой войны

Продлён приём заявок в хоррор-акселератор ТВ-3 и 1-2-3 Production 

КАК ПРОГНАТЬ ИЛИ ИЗЛОВИТЬ КРОТА! Обзор проверенных способов!

Германист Камкин: исход выборов в ФРГ повлияет на судьбу «Северного потока – 2»

С начала года в Подмосковье совершено свыше 50 тысяч преступлений

«Китайские стены» в Европе: 10 самых длинных жилых зданий

Путин в России и мире

Персональные новости