According to one study, states in the U.S. early end of emergency unemployment benefits have seen a slight decline in unemployment but spending and incomes plummeted, a reality that could take place across the U.S. as subsidies programs end altogether.
Workers outside the New York City Office of Labor. Document image: Vietnam News Agency
First introduced in the economic relief, assistance and Security Act in March 2020 and renewed several times later, emergency subsidies have increased weekly unemployment benefits and expanded to free workers as well as long-term unemployed people.
However, the grant has been controversial in recent months, as critics say the grant leaves Americans reluctant to return to work even as the COVID-19 vaccine is widely vaccinated and businesses struggle to find enough workers.
Officials in 26 states, mostly Republicans, announced an early halt to some or all of the subsidy programs that would end nationwide on Sept. 6.
Analyzing data from 18,648 people who received unemployment benefits, the study found that nearly 25% of employed by the end of July in 19/22 States ended the supplementary benefit program in June, compared with 22% in 23 states that continued to provide assistance.
However, research by Columbia University, the University of Massachusetts Amherst and the University of Toronto using data from financial services firm Earnin found that unemployment benefits fell by 2 278 a week and incomes fell by giảm 145 a week (20%).
The researchers said that when the pension program ends nationwide, spending could fall by about 8 8 billion in September and October. This decline can continue as workers need time before returning to work.
At the moment, the U.S. economy is said to have not receded. However, the story of the coming time may be completely different...
The U.S. Department of Labor reports that the job increase helped lower unemployment back to a pre-pandemic low of 3.5 percent. Employment growth exceeded in June 2022 has been adjusted higher.
The states of Iowa, Alabama, Arkansas, Mississippi, Montana and South Carolina announced additional subsidies that were planned to be paid through September as part of the stimulus package is worth 1 1,900 billion.
The U.S. economy declined in the first three months of 2022 despite consumers and businesses continuing to spend at a steady pace. However, the decline of gross domestic product (GDP) - the widest measure of economic output - is unlikely to signal the beginning of a recession for the U.S. economy.
In the United States, shortages of metal, plastic, wood and even wine bottles are now common.
According to a survey by the National Association of Business Economists (NABE) published on Jan. 24, U.S. companies have had a good year of business, but all are concerned about the trend of the number of cases of COVID-19 rising again, although supply problems are expected to cool down.