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Some help was justified, but the stimulus benefits were just too high. Companies struggled to hire because workers could earn more money on unemployment [1]. A

Some help was justified, but the stimulus benefits were just too high. Companies struggled to hire because workers could earn more money on unemployment [1]. And that was when the pandemic was in full swing. Giving people free money today is not justifiable. If you give free money to help citizens counter inflation, that only cements the inflation. It is basic supply-and-demand principle. When people have more money, demand goes up, while supply remains constant (due to supply chain issues and so on). This causes prices to rise. To counter inflation that money should instead be spent on resolving the supply chain issues: When stores have too much stuff, they will slash prices [2]. [1] https://www.businessinsider.com/stimulus-unemployment-benefits-fuel-hiring-struggles-companies-say-2021-4 https://www.businessinsider.com/stimulus-unemployment-benefi... [2] https://www.wsj.com/articles/stores-have-too-much-stuff-heres-where-theyre-slashing-prices-11655170243 https://www.wsj.com/articles/stores-have-too-much-stuff-here...

autoexec 4y ago
> It is basic supply-and-demand principle. When people have more money, demand goes up, while supply remains constant Again, "demand" here means paying off credit card debit they needed to rack up to keep food on their tables and paying their rent to keep a literal roof over their heads. People who need the stimulus money aren't the problem. Companies are blaming stimulus money for their hiring problems along with everything else they can think of besides their own abusive behavior and terrible pay/benefits. Why wouldn't they? Covid made it crystal clear to people that companies don't care about them, or their safety. Can we blame people for not rushing back to them to be underpaid and treated like garbage? > A federal program that paid $600 a week in unemployment benefits for part of 2020 meant that two-thirds of people collecting benefits made more than they had when they were employed If you make so little money working that $600 is more than you'd earn after working 40 hours (including benefits like health insurance) you should stay home. That's not a problem with too much help for people, it's a problem with terrible terrible wages. When workers refuse to get a job for less than they need to survive that's supply and demand working too. We're just starting to see wages go up because of it. The wake up call of Covid has also helped pushed calls for unions.

autoexec 4y ago

> It is basic supply-and-demand principle. When people have more money, demand goes up, while supply remains constant Again, "demand" here means paying off credit card debit they needed to rack up to keep food on their tables and paying their rent to keep a literal roof over their heads. People who need the stimulus money aren't the problem. Companies are blaming stimulus money for their hiring problems along with everything else they can think of besides their own abusive behavior and terrible pay/benefits. Why wouldn't they? Covid made it crystal clear to people that companies don't care about them, or their safety. Can we blame people for not rushing back to them to be underpaid and treated like garbage? > A federal program that paid $600 a week in unemployment benefits for part of 2020 meant that two-thirds of people collecting benefits made more than they had when they were employed If you make so little money working that $600 is more than you'd earn after working 40 hours (including benefits like health insurance) you should stay home. That's not a problem with too much help for people, it's a problem with terrible terrible wages. When workers refuse to get a job for less than they need to survive that's supply and demand working too. We're just starting to see wages go up because of it. The wake up call of Covid has also helped pushed calls for unions.