Aid programs didn’t deter workers and aren’t driving inflation, economist says
Via WI Examiner:
Federal relief programs, the first enacted early in the COVID-19 pandemic and the most recent about a year later, helped power a swift economic recovery and ward off poverty for millions, according to a new report issued Thursday.
The report, prepared by the Center on Budget and Policy Priorities (CBPP) in Washington, D.C., found that relief to U.S. households through the federal programs “helped make the COVID-19 recession the shortest on record” — just six months.
“These measures provided relief to individuals, to workers who lost jobs, to households and to businesses,” said CBPP President Sharon Parrot in a virtual press conference Thursday. “They included significant fiscal aid for state and local governments, territories and tribal nations, which helped them avoid cutting services and laying off staff.”
Government aid reduced the number of people living below the federal poverty guideline by 8 million, the report states; without that aid, the number would have increased by 9 million.