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Second stimulus check – 3 Reasons for giving up on it

The COVID-19 pandemic left traces in the economy in every country in the world, including the US. Therefore, is second stimulus check really needed?

Second stimulus check

Millions of Americans have lost their jobs in the wake of the COVID-19 crisis, while countless more are grappling with income insecurity.

Thankfully, the CARES Act has already provided relief in the form of $1,200 stimulus payments.

On the other hand, many Americans feel one stimulus check was not enough, and are waiting for a second stimulus check.

Unfortunately though, efforts to get that money into Americans’ hands have thus far been unsuccessful.

The Democrat-proposed HEROES Act, which calls for second stimulus check, is currently on the wait in the Senate.

Additionally, considering that Republican lawmakers have been vocal in their opposition to it, it is unlikely to get votes.

Of course, that is just one proposal that is out there. Moreover, it is still possible that Americans will see another relief package introduced in the coming weeks.

President Trump indicated that he expects a generous stimulus bill to pass sometime in July. But whether that bill includes an actual stimulus payment is not sure.

Reasons for not getting a second check

Here are three reasons why a second stimulus check may not be a part of it.

The first reason is that unemployment fell.

In April, the US jobless rate hit 14,7%.

In May the numbers came to 13,3% and that data alone could drive lawmakers to oppose a second check. This is on the basis that things are improving and it therefore is not necessary.

Secondly, many states are reopening. Therefore, more and more jobs are likely to add as businesses come back to life.

Anyway, it is easy to make the argument that a second stimulus check is not necessary.

The third reason is that the relief money could be earmarked for other purposes.

There has been a lot of focus on second stimulus check ever since it became evident that the initial round was not enough.

However, some lawmakers feel that relief aid should instead center in encouraging out-of-work Americans to return to the labor force.

If people are not motivated to get back into the workforce, we will have an even more difficult time recovering from our current recession.

Furthermore, reuniting people with a steady paycheck could stimulate the economy in a very meaningful way.

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