The report found that sending 4th and 5th stimulus checks could protect 12 million Americans from poverty.


Stimulation check

The Economic Stimulation Check is being prepared for printing on May 8, 2008 at the Philadelphia Financial Center in Philadelphia, Pennsylvania. Jeff Fusco / Stringer

  • The Economic Security Project said the fourth and fifth stimulus checks could protect an additional 12 million Americans from poverty.

  • The report added that more stimulus checks would help bridge the racial and wealth gap in the country.

  • 21 Democratic senators have already called on Biden to provide repetitive stimulus and unemployment assistance.

  • See other articles on Insider’s business page..

Americans have received three incentives from the government since the coronavirus pandemic, and new reports allow Americans to get out of poverty by sending more checks.

Economic security project report On April 14, stimulus checks were found to play an important role in combating poverty, increasing SME income, and increasing state and local income.It demanded that the government continue to provide stimulus checks to lift additional 12 million Americans From poverty, fill the poverty, income, and wealth imbalances between white Americans and colored Americans, in addition to the 16 million Americans from recent $ 1,400 stimulus payments.

“Last year’s evidence shows that stimulus checks are the fastest and most influential investment that helps Americans overcome this crisis and save more people from poverty than any other single policy. It shows, “the report said.

So far, Congress has sent about $ 850 billion in stimulating aid to Americans, and the report states that child tax credits and earned income tax credits will be permanent and that such aid will continue. It states that it will ensure a quick and equitable recovery and a sustainable economy. Growth for the country.

The report said that the first round of the $ 1,200 stimulus check lasted a couple of months for Americans and was out of aid in the summer. 8 million Americans I was returned to poverty. But when combined with the $ 1,400 stimulus check from President Joe Biden’s $ 1.9 trillion stimulus plan, the fourth and fifth checks can reduce 2021 poor people from 44 million to 16 million. Said.

The other main findings of the report are:

  • 60% said the $ 1,400 stimulus check lasted only 3-4 months.

  • Black and Latino households are constantly struggling to cover the basic costs compared to white households.

  • Checks tailored to people with incomes less than $ 100,000 also help black and Latin families earn about twice as much as white families and help close racial gaps.

Economic security projects are not the only ones driving ongoing stimulus payments. On March 31, 21 Senate Democrats letter Encourage him to implement in Biden Regular stimulus payments And automatic unemployment insurance tied to economic conditions to help Americans who are still struggling during the pandemic.

“This crisis isn’t over yet. It’s worthy of confidence that the family can put food on the table and keep the roof overhead,” the letter said. “Family should not be at the mercy of the ever-changing legislative timeline and ad hoc solutions.”

And more than 150 economists Open letter We support regular payments as an “essential tool” to promote national economic security.

Biden plans to announce the second part of its $ 4 trillion infrastructure plan next week, which includes care economic measures like Universal Pre-Kindergarten, but the White House commented on implementing further stimulus measures as part of the plan. Not done.

Read the original article Business insider