Nope, as pointed out by others. This doesn't do anything to solve the systemic problems that allowed this to happen and us to be woefully unprepared for this.
One way to fight a coronavirus recession: $1k for every American
101–110 of 287 posts
Re: One way to fight a coronavirus recession: $1k for every American
#102That 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…
> hand a lot of money over to the top income earners
They just got their loan interest rates reduced. All with a nice excuse to cover for it.
Re: One way to fight a coronavirus recession: $1k for every American
#103Earlier quoted context omitted.
The goal is create as many delays as possible, to maximize the duration and number of people who can stay home instead of spreading the virus. It doesn't address the root problem because we can't solve the problem - people will have to go back to work eventually. We're not a post-scarcity society yet.
I don't think 1 month of safety is enough to convince people who need to work to not work. they'll simply say "what about next month."
My understanding was that it's a proposal to help people who'll be devastated by not being allowed to work. If we're trying to get people to stay home on a voluntary basis, yeah, I agree it won't help much there.
Re: One way to fight a coronavirus recession: $1k for every American
#104Earlier 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…
Yeah, income inequality is not a uniquely American problem. But it's still worth pointing out that even though $1k probably seems like a piddling amount to most readers of this site, it could still help a lot of people who are significantly less well-off.
Re: One way to fight a coronavirus recession: $1k for every American
#105This 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.
> Direct, debt free issuance of a citizens dividend to every US citizen. Coupled with a wind-down of the debt bubble. There are three ways to make it possible: 1) issue government debt to pay for it 2) increase taxes to cover it 3) print money to cover it. Number 3) will cause significant inflation, so it will effectively be paid for by tax on cash savings. High inflation is really bad, it’s a terrible idea. 1) has t…
Number 3 will not create inflation. Not in all cases and not in our current environment. That is a myth pushed by the banks in order to keep the current system in place.
Debt spends the same as money. We have already had the inflation, paid for with debt. Now the debt system is becoming unstable and will lead to deflation unless we put non-debt spending power in the average persons hands.
Read Keen's site, he explains the situation:
http://www.debtdeflation.com/blogs/manifesto/
Most economists view debt as a wash. "We owe it to ourselves." But, at Keen demonstrates, that isn't the case. We need a debt jubilee if we want the economy to function properly again, and he, alone and mocked by any mainstream economist who actually paid attention to him, came up with a modern, fair way to do it.
Re: One way to fight a coronavirus recession: $1k for every American
#106I think something like a $10K tax rebate per person would be more appropriate. 1. It'll help people cover their bills 2. It'll put a shit-ton of money out to help reboot the economy when this all blows over.
Tax rebate doesn’t help if you don’t pay any tax, and if you’re out of work, you’re also not paying tax. For example, if you normally make the median income of $30k, but quarantine put you out of work for 3 months, you’re down to $22,500, your federal tax bill is ~$2700, and so this is most you can get from tax rebate. If you have children, this is even lower. While I agree that tax rebates are typically correct appr…
Right, tax credit then.
Re: One way to fight a coronavirus recession: $1k for every American
#107Earlier quoted context omitted.
Let's make it 10k per month, then we can all be wealthy.
IF everyone is wealthy, the prices go up, and everyone is poor again. We can only afford Tesla's now, because rich people could afford them years ago. Same with all the other things we spend our money on ..
I dunno who this we is. I can't afford a Tesla.
Re: One way to fight a coronavirus recession: $1k for every American
#108Earlier 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 $1000 expense. That's the really sobering number, in my view This is pretty common everywhere across the developed world. The majority of OECD nations have a lower median wealth figure than the US, including Sweden and Germany (their median wealth figures are particularly shockingly low, given the affluence those nations should have vs their national output and…
There is way higher number of situation where US Americans need to have 1000$ ready.
Re: One way to fight a coronavirus recession: $1k for every American
#109I think this is silly. The idea behind this is to induce demand, but there isn't a lack of demand due to lack of purchasing power. People aren't spending because they aren't leaving the house. (which, in the case of a pandemic, is a thing to be encouraged)
I sincerely doubt that giving everyone a thousand bucks will save the restaurants and bars and movie theaters and retailers and cruise ships and hotels and airlines etc...
Re: One way to fight a coronavirus recession: $1k for every American
#110Earlier quoted context omitted.
The goal is create as many delays as possible, to maximize the duration and number of people who can stay home instead of spreading the virus. It doesn't address the root problem because we can't solve the problem - people will have to go back to work eventually. We're not a post-scarcity society yet.
I don't think 1 month of safety is enough to convince people who need to work to not work. they'll simply say "what about next month."
You're trying to convince people who are sick not to work. Nearly everyone who is sick this month won't be sick next month.