A recent study from the University of Michigan revealed that the last two rounds of stimulus checks passed in the United States Congress lifted both low-income and higher-income Americans out of financial hardship.
The analysis, titled “Material difficulties and mental health after the COVID-19 relief law and the law for the ‘American rescue plan (APRA)’”, has been taken by legislators such as the independent Bernie Sanders and other sectors to insist on the call for a fourth stimulus check.
The results of research led by Patrick Cooney and H. Luke Shaefer, published in May, established that during the crisis, the levels of difficulty faced by American households were directly linked to the response to federal government aid.
“Despite historically high levels of unemployment, in July 2020 we found that difficulty levels stabilized — and in some cases decreased — after the deployment of support programs under the Coronavirus Relief, Relief and Economic Security Act (CARES) such as Economic Impact Payments (EIP) and the expansion in unemployment insurance. The difficulty was relatively stable in early fall 2020 before increasing sharply in November and December 2020 as the economic recovery stalled and Congress delayed action on relief measures, ”the study results read. .
Greater financial and mental well-being after sending stimulus checks
The evaluation found that both food insufficiency and other items fell and the financial and mental well-being of Americans improved.
“We found that the provision of robust assistance, primarily in cash, to American families led to a decrease in material hardship. Between December 2020 and the end of April 2021, levels of dietary insufficiency in the Pulse survey fell by over 40%, levels of financial instability fell by 45%, and participants who reported frequent symptoms of depression fell by 20%, ”the researchers noted.
“The steepest declines in hardship were reported after the passage of the two relief laws, coinciding with the delivery of the EIP, and the gains were higher among households with the lowest incomes. All difficulty levels fell to their lowest levels, as measured by Pulse, after approval from APRA… “, they added.
Senator Sanders, who last year presented with the now US Vice President Kamala Harris and fellow Democrat Ed Markley a measure for the disbursement of monthly payments of $ 2,000, referred to the study in a tweet on June 4.
What stimulus checks meant for the American people:
⬇️ financial instability fell by 43%
⬇️ families’ food shortages fell by 42%
⬇️ anxiety and depression fell by 20%
And it is. Government can and should continue to address the needs of working people, not just the 1%.
– Bernie Sanders (@BernieSanders) June 4, 2021
“Yes. The Government can and must continue to meet the needs of the working class, not just the 1%, ”reads part of the message on his Twitter account.
Sanders is one of 83 members of Congress to push for a fourth check or recurring payments after the $ 1,400 stimulus check was passed in the federal Legislature last March.
The White House is not blunt on a fourth stimulus check
Meanwhile, the White House continues to express itself briefly on the possibility of new direct payments to Americans through stimulus checks.
This Thursday, the press secretary, Jen Psaki, limited herself to indicating that Biden is open to a variety of ideas.
He immediately diverted the issue to the extension of the “Child Tax Credit”, also approved under the “American Rescue Plan” that the Internal Revenue Service (IRS) is preparing to send in advance to millions of families from July 15.
“There are some who are proposing to make the ‘Child Tax Credit’ permanent. There are some who propose additional stimuli. The (president) is happy to hear about a variety of ideas on what would be most effective and what is most important for the economy to move forward, ”stated Psaki.