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

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

#151

Post by tjr225 »

KMnO4 wrote: post #74
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…

> And I am VERY lucky to have a bunch of cashed packed away. Luck may not be the only factor. It sounds like you live responsibly/frugally as well, and reaping the benefit from it now.

I am certainly very lucky, but you are correct. I suppose a better word would be grateful, rather than lucky.

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

#153

Post by erobbins »

Honestly I'd like to see a 1 month quarantine, with the US government guaranteeing the wages of everyone in the workforce for that time. Something like 100% up to 50k/year, 75% of 50-100k, and cap it there. It would cost a few hundred billion dollars but it would keep the "I have to work or be homeless" people from being homeless and allow them to actually stay home for that time.

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

#154

Post by bmj »

Romney said that the idea would "help ensure families and workers can meet their short-term obligations and increase spending in the economy."

Given that many states are closing all non-essential businesses, where, exactly would the economy be stimulated? Stockpiling more toilet paper? I realize that online retailers are currently still delivering, but how long will that last?

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

#155

Post by neltnerb »

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…

For context, the US has 330M people. So $1k per person is a $330B expense.

The Fed, which has no legislative oversight on this kind of thing, lowered interest rates to 0% and is buying $700B of treasuries to stabilize the banks. So you know, only twice that much authorized to make things marginally better for banks and the stock market.

So I think maybe pretend that it was actually $2k per person. Other than losing your job this seems like a reasonable amount to hunker down and not eat out or go to events for 6 weeks. But if you lose your job long term... I think the effect is going to be much longer than a few weeks of people working from home.

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

#156

Post by Ididntdothis »

triceratops wrote: post #129
Ididntdothis wrote: post #37

That seems pretty silly. Me and probably a lot of other people would just put it aside and save because we don’t need the money. And for the people in some industries who are at risk of losing their jobs this is laughably little money. In Germany there is a concept called “Kurzarbeit”. Companies reduce work hours and salaries across the board and unemployment insurance makes up for some of it. This way mass layoffs a…

> Companies reduce work hours and salaries across the board and unemployment insurance makes up for some of it. Isn't that the same overall effect as a lockdown and a direct cash payment?

People don’t get laid off.

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

#157

Post by NeutronStar »

neltnerb wrote: post #155
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…

For context, the US has 330M people. So $1k per person is a $330B expense. The Fed, which has no legislative oversight on this kind of thing, lowered interest rates to 0% and is buying $700B of treasuries to stabilize the banks. So you know, only twice that much authorized to make things marginally better for banks and the stock market. So I think maybe pretend that it was actually $2k per person. Other than losing y…

It should be a monthly payment. This single 1k cash handout is a joke. The gov announced over $2T worth of measures to help the "economy", average Joe is about to get less than 1/6th the amount.

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

#158

Post by ceejayoz »

adventured wrote: post #72
leggomylibro wrote: post #29

Earlier quoted context omitted.

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 soberin…

> only 40% of Americans are able to cover an unexpected $1000 expense. That's the really sobering number, in my view This is pretty common everywhere across the developed world. The majority of OECD nations have a lower median wealth figure than the US, including Sweden and Germany (their median wealth figures are particularly shockingly low, given the affluence those nations should have vs their national output and…

Smaller wealth, but larger safety nets.

Swedes and Germans aren't going to have to pay a $13k deductible if they have an unexpected surgery, for example.

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

#159

Post by tucaz »

dionidium wrote: post #126
maximente wrote: post #57

i just don't see how UBI survives a highly polarized, segregated society pumped out by the US media. imagine the headlines by Fox News as soon as they find 4 people living together playing video games all day. or smoking pot. or etc. in a weird way it dangerously exposes people as, according to "the economy", particularly not valuable. the framing will go: these people are literally doing nothing and we're supporting…

imagine the headlines by Fox News as soon as they find 4 people living together playing video games all day. or smoking pot. or etc. You're right that it'll require a pretty fundamental shift in attitude. Some folks will still think people like that are losers. That's fine. But maybe we'll get to a point where they won't think such people, losers that they may be, are doing anything they're not entitled to be doing.…

They are 100% entitled to those choices. I can't disagree there.

The only thing I disagree with is that I should have the choice to not pay for other people's choices of not doing nothing. If they want to be like that, they can as long as they don't interfere with everyone else's choice.

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

#160

Post by tln »

NamTaf wrote: post #67
tln wrote: post #27

How about a $10k loan instead? Zero interest, paid back through IRS over 10 years, with decreasing amounts available based on last years income.

A loan may not encourage spending in the same way free, no-strings-attached money does. For example, if you're poor and struggling pay-to-pay, would you like the idea of borrowing knowing that it'll bite you later on when you have to survive on even less money due to paying back the loan? On the other hand, absolutely no-strings-attached money might see you spend it on something that you've needed for a while but hav…

Quite true, my thought was that a loan can be a larger amount. $1k one time on't change much, $10k would help people pay for food etc.

It's always possible to do both.

> Furman proposes Congress pass a "one-time payment of $1,000 to every adult..."

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