Hacker News Board Hacker News, browsed like a classic message board
Live data from Hacker News

One way to fight a coronavirus recession: $1k for every American

axios.com

Post reply on HN
Print view View original

21–30 of 287 posts

Re: One way to fight a coronavirus recession: $1k for every American

#21

Post by ntsplnkv2 »

tomp wrote: post #17

I've been railing against this idea as uniquely stupid for the past few days. 1. For people who are living "paycheck-to-paycheck", this won't even matter. How far does $1000 get you in the US? A better policy would be a general amnesty on rent and interest payments for a few months, and temporary free healthcare. 2. For industries where it's a demand shock (e.g. travel), no amount of helicopter money will restart the…

On point one, that's just the thing. If I got 1000$ right now from the government, I'd pay things that I'd already have been paying anyway, or I'd save it because the economy is bad. I'd imagine most people would do something similar.

Re: One way to fight a coronavirus recession: $1k for every American

#22

Post by vearwhershuh »

Gunax wrote: post #18
vearwhershuh wrote: post #13

This is how we should manage the money supply, and it should be monthly. Direct, debt free issuance of a citizens dividend to every US citizen. Coupled with a wind-down of the debt bubble. Maybe take Steve Keen's idea and require that a certain portion of the payment be used to extinguish any debts. Unfortunately whenever a president starts talking about this, he has a tendency to be shot.

Let's make it 10k per month, then we can all be wealthy.

Obviously there is a level that makes sense and a level that does not. Using the big-bank/government debt-system to manage our money supply is no more or less free market than a citizens dividend, it just ensures that the wealthy get first dibs on the new money and then the rest of us pay interest on it.

Steve Keen's idea for a modern debt jubilee is more important for the long term growth of the economy:

http://www.debtdeflation.com/blogs/manifesto/

I get where you are coming from, but the current system is completely out of control, as always happens with a usury-based economy.

Re: One way to fight a coronavirus recession: $1k for every American

#23

Post by andreilys »

Gunax wrote: post #15

I too think this is silly. Everyone wants to use this disaster to achieve the policy goals they wanted anyway. Republicans want to use it as an excuse for tax cuts. Democrats want to expand public healthcare and benefits. Everyone is trying to attach riders for domestic violence victims or pork spending or whatever pet issue they have. And now the Ubi folks want this. Nothing changes. Same BS.

What do you think will help the recovery more, QE by central banks or UBI?

Re: One way to fight a coronavirus recession: $1k for every American

#25

Post by gdubs »

Gunax wrote: post #15

I too think this is silly. Everyone wants to use this disaster to achieve the policy goals they wanted anyway. Republicans want to use it as an excuse for tax cuts. Democrats want to expand public healthcare and benefits. Everyone is trying to attach riders for domestic violence victims or pork spending or whatever pet issue they have. And now the Ubi folks want this. Nothing changes. Same BS.

UBI, Tax Cuts, Social Safety Net – these are all different approaches to solving actual problems. Are politics full of pork and cynicism? Sure. But at the end of the day _something_ needs to be done, and it would be more constructive to have a rational discussion of which of the tools at our disposal stand a chance against this menace.

Re: One way to fight a coronavirus recession: $1k for every American

#26

Post by dumbfoundded »

cscurmudgeon wrote: post #20
paxys wrote: post #16

America's immediate priority needs to be public health, not the stock market. The economy will recover, dead people won't.

The stock market is not a magical abstract thing that has no impact on people's lives. It has an indirect and huge impact on all of us.

Money in our pockets would also have a direct impact us on. Why include the middleman? Let bad companies fail.

Re: One way to fight a coronavirus recession: $1k for every American

#28

Post by PeterisP »

ntsplnkv2 wrote: post #21
tomp wrote: post #17

I've been railing against this idea as uniquely stupid for the past few days. 1. For people who are living "paycheck-to-paycheck", this won't even matter. How far does $1000 get you in the US? A better policy would be a general amnesty on rent and interest payments for a few months, and temporary free healthcare. 2. For industries where it's a demand shock (e.g. travel), no amount of helicopter money will restart the…

On point one, that's just the thing. If I got 1000$ right now from the government, I'd pay things that I'd already have been paying anyway, or I'd save it because the economy is bad. I'd imagine most people would do something similar.

> pay things that I'd already have been paying anyway

That's kind of the point. With a nearly imminent lockdown, many people would not be able to pay for things that they have been paying all the time, and that will bankrupt companies and break the economy. A cash injection that allows you to pay for things that you're already paying for - and get the basic things you were already getting before - would be quite helpful.

Re: One way to fight a coronavirus recession: $1k for every American

#29

Post by leggomylibro »

tjr225 wrote: post #3

Am I way out of band or does that seem like a comically small amount of money for the average American? I live in an extremely low COL area and live well within my current means. Assuming my work dries up and I don't have any savings, 3k$ would buy me two months tops. Just to give you an idea of how cheaply I live: Mortgage is ~800$/mo, Car is a paid off 2006 Toyota Highlander, Student loan minimums of ~400$/mo, My w…

You can't live off of $1000/mo in most cities without making some real sacrifices, but a $1000 supplement would still be a huge help to people who live paycheck-to-paycheck and may not get paid for a few weeks. It'll buffer out what might otherwise turn into an inability to pay basic bills like food and medicine.

After all, only 40% of Americans are able to cover an unexpected $1000 expense. That's the really sobering number, in my view:

https://www.cnbc.com/2019/01/23/most-americans-dont-have-the...

Re: One way to fight a coronavirus recession: $1k for every American

#30

Post by fortran77 »

tjr225 wrote: post #7
CubsFan1060 wrote: post #5

Earlier quoted context omitted.

If they are government student loans, I think the interest on those is gone for awhile.

That also seemed like a comically paltry move. I still have to make my payments, after all! In addition my wife and I have spent the last couple of years with two incomes wiping away our student debt on high incomes in Seattle - so the only loans I have left are pretty low interest. The only way I can see this working for everyone is to simply halt the economy altogether. No mortgages, no bills, free food, free medic…

Of course, suspend the payments through this crisis, but why should you not owe it?
Post reply on HN