Topic: The US Stimulus - How do you feel about it ? Too little to late? (Read 289 times)

Another round of $1,200 stimulus checks is probably coming to most Americans. The House speaker and majority leader unveiled another $3 trillion bill that includes more direct payments, and while Republicans are balking at the bill and a bunch of things will be tossed out of it, I don't think the stimulus checks are a point of contention. https://www.cnbc.com/2020/05/12/coronavirus-updates-house-democrats-unveil-3-trillion-relief-bill.html

The White House is also looking into a plan to give $5,000 stimulus checks in exchange for delaying Social Security benefits for a few months: https://www.foxbusiness.com/money/white-house-coronavirus-stimulus-check-delayed-social-security-benefits

Either way, it may take a month or so, but I'm pretty sure more checks are coming. The second proposal is an interesting one. I'll bet plenty of BTC bulls would take $5K now knowing Social Security may not even be there in 20-30 years.

The agricultural activities have taken a mild hit as of now and farmers are allowed to start their activities from tomorrow after the 30-day lockdown here  but the issue is the supply chain connectivity which is affecting the steady flow of items within and to other countries and supporting the small business and families is actually good as the people will help in consumption with their money in hand and I think the economic situation will not be back very soon it might take some time as yet to see a bear market for a very long time

I think the Fed's stimulus package during this COVID-19 epidemic is huge. This will help businesses overcome this difficult time. We really don't know when this COVID-19 epidemic will ever end. But this epidemic will inevitably lead to a global economic crisis. Many workers lost their jobs. So I think the Fed will launch more stimulus packages next time to revive the US economy.

I think the individual and small business stimulus is not that bad, it will definitely save some people from having to eat stale bread, and it's not too late. What was late is decision to implement quarantine, some people died needlessly because of that.

I think you have a laudable point. This coronavirus pandemic has really brought remote working ideology to limelight. For this stimulus package to really be effective it should be channelled into the funding of a decentralized system of food security, remote working skills.

That's a sure way to go.

With the problems with import and export , the developing countries who were providing the developed countries with basic necessities , everything is at halt , there were always a problem with production in the developed nations .

In a country like India which is far behind US , 70% of the people engaged in farming .

In a country like US , only 1.3% of the employed people are farmers .

This stats proves a lot of things , developed nations since ages ago are actually using the developing nations , even with the Corona virus one can see how US is unable to cope up and is asking help from nations they once condemned for being non reasonable.

The US stimulus bill could have been distributed to the the people who are sitting at home thinking how will they be able to take care of everything next month .

On the other hand , one needs to take this as a very important lesson about how a country needs to take care of its own resources .

If India did not export food and other things , one can see the price of the good will become affordable and even poor people would be able to take care of their daily needs .

Therefore stimulus bill should have been in the favor of not so rich people at the same time with the bill the government needs to take care of their own services and goods. A bill won't do much when you have to change the way people think and first and foremost change the leader .

A country is represented by their leaders , no wonder in the time of crisis people are facing tremendous problems.

right now it's not only USA the world are suffering because of coronavirus and small businesses even rich country like the USA are having problem to provide financial support but they are trying many countries can't even do that I am worried about those countries in this pandemic.

Yes,too little and too late.However,Trump is talking about removing the lockdowns in more states,which means that more businesses will start working again,which is better than just giving money to the people for nothing.
When it comes to small businesses,I think that lending money with low interest rates and long payout is more flexible option,rather than just giving financial help.The stimulus plan might create inflation,after the pandemic is gone.

This is the economic analysis I feel should be suitable.
1.Businesses need money for production.
2. Households need purchasing power.

So, for the economic equation to be complete then the money should be shared to both but business should be more than households.

Its not a true Economic Stimulus plan.

Disaster Relief or Quarantine Support are more accurate descriptions.

Grow your own food packages and information kits should be distributed. To encourage decentralization of food processing/production in the event of centralized supply chains becoming infected or shut down.

The government could incentivize work from home sectors. Whether the focus is developing new skillsets or job opportunities being available online. A better paradigm shift towards workers better coping with a quarantine environment.

It is possible we'll see an emphasis on these trends from the private sector. Which could illustrate positive facets of capitalism, for a change.

Yeah, and I seriously doubt our country's ability to keep paying people to stay out of work.  Sure, the Fed can keep the printing presses going full-speed, 24/7, but someone's going to have to pay for all of this relief eventually--and I'm not sure Trump really gives a shit.

That's my only concern about the stimulus.  I'm worried about increased taxes and/or high inflation as a consequence of it.  And I know Trump wants to get the country back on its feet and out of lockdown fairly soon, which I think is a great idea as long as it's safe for everyone to come out of hiding.  Hopefully he's getting good advice from his advisers, because I certainly don't trust his own judgement.

I think there will be multiple phases of these "relief programs". As an individual you'll get little to nothing, if you're a business/corporation you'll take the loans (we hope that trickles down, time will tell) and have the option to be forgiven down the road. You also have to think about other loans like federal government school loans, The CARES Act does not include any direct student loan forgiveness for student loan borrowers. Again the little guy gets the short stick.

BRB... going to buy coins with uncle sams check.  

If small businesses applies to the programs that have been setup to get money into their hands, they're going to be able to be OKAY for a little while. There's two big programs right now:

1. Economic Disaster Loan - Provides a loan with terms of up to 30 years, guaranteed by the US gov, with an advance of up to 10k (1k per employee) which was just recently paid out people who applied first.

2. Paycheck Protection Loan - SBA will forgive loans if all employees are kept on the payroll for eight weeks and the money is used for payroll, rent, mortgage interest, or utilities.  (https://www.sba.gov/funding-programs/loans/paycheck-protection-program-ppp)

So yeah, they have setup some pretty good programs to keep big and small businesses going and employing people through this time. You just have to have all your paperwork in order and to apply.

This is an actual breakdown of where the money went: https://www.visualcapitalist.com/the-anatomy-of-the-2-trillion-covid-19-stimulus-bill/

About half of it goes to individuals and small businesses.

Most of the small business loans are actually forgivable which doesn't create the best incentives for repayment. If the lockdowns end up going beyond the eight weeks covered by the paycheck protection program, lots of businesses will go belly up and default on these loans, then lay off their employees. Then there will be another huge wave of unemployment.

The stimulus bill sort of gets people by as long as the economy reopens by May. If not, there will be a big push for more relief.

I think small businesses are the key to deal with the local economic crisis. This is not just about USA, but also for all countries which have their economics in quarantine. I run a small business in daily life and i realise how important is my role during this crisis as i work as a small merchant in a small village where we have many difficulties as merchats (as an example) to reach goods providers. You can imagine the situation with all economic branches.
This does not mean to give a hand to poor families and individuals, but gov should really focus on to refresh the economic tissue in way with which it can give help to everybody.

The US Stimulus - How do you feel about it in general and also in how it is divided?


Do you think more should have gone to small businesses and families/individuals?