Pig wearing lipstick spins porkulus

[Sailor]

That's exactly what some are predicting, Cap.

Former Treasury Secretary Larry Summers, a DEMOCRAT, says the hazard of a stimulus package that is too large is the risk of inflation, which many economists try to forecast by looking at the gap between actual and potential economic output.

That gap is currently about $50 billion a month, based on a Congressional Budget Office analysis, but the stimulus would generate about $150 billion a month, three times the size, Summers says. If lots of customer demand can’t be met by a limited capacity of labor, factory machines and other supplies, that likely would drive up wages and prices.

The Biden plan could “set off inflationary pressures of a kind we have not seen in a generation, with consequences for the value of the dollar and financial stability,” Summers wrote in The Washington Post.

The Federal Reserve’s preferred inflation measure was at 1.3% in December and the Fed has vowed to keep its key interest rate near zero even if inflation rises above its 2% target for some time. But an unexpected surge in prices could force the central bank to raise interest rates more abruptly than anticipated, possibly causing a recession, Morgan Stanley says.

https://www.usatoday.com/story/money/2021/02/25/covid-relief-bill-stimulus-check-critics-bidens-stimulus-goes-too-far/6804219002/

Shades of Carter......

[Legion]

Assuming that all the low wage jobs that would pay $15 an hour haven't been taken by AI and robots...

It's worse than that.

The bill would create one of the largest expansions in government welfare benefits since the birth of the modern welfare state. In combination with December’s $900 billion package, the new bill would expand the safety net to include six months of weekly $400 bonus unemployment benefits on top of the normal weekly benefits, a $3,000-a-child tax credit, an expansion of food stamps and rental assistance, $2,000-a-person checks, and expanded health benefits.

Unlike wages and salaries earned from work, many of these benefits are tax-free. So the after-tax equivalent of receiving a paycheck versus government benefits is even more tilted against working. There is no 7.65% payroll tax deducted from an unemployment check, as there would be on a paycheck.

Supplemental unemployment-insurance benefits in the range of $400 a week would offer roughly 60% of unemployed workers more money for not working than for returning to their jobs. During the last serious recession, in 2009, the supplemental benefits under the Obama stimulus were $25 a week.

When the original Cares Act passed in early 2020, the added benefit would reduce employment by millions when jobs came back.

Sure enough, Labor Department statistics verified that millions of jobs went unfilled last summer even as unemployment was historically high.

https://www.wsj.com/articles/how-many-jobs-will-the-stimulus-kill-11614295867?mod=opinion_lead_pos8

[Legion]

Shades of Carter......

Malaise, Cap'n.

[Nordberg]

Assuming that all the low wage jobs that would pay $15 an hour haven't been taken by AI and robots...

How many times does this have to be polled up the right-wing flagpole before the reds learn? I read about it in National Geographic in the 60s. It is what the owners do to scare people from demanding fair pay. If they could have replaced the workers they would have already.

[Bill]

By the time that $15 mandated wage kicks in, it will very likely be wiped out by inflation, Skip.

yep, easily...

[Legion]

How many times does this have to be polled up the right-wing flagpole before the reds learn? I read about it in National Geographic in the 60s. It is what the owners do to scare people from demanding fair pay. If they could have replaced the workers they would have already.

You think AI and robots haven't progressed since the Sixties?

BTW, I doubt you were reading National Geographic to learn about AI and robots. You were leering at black tiddies. Don't deny it, pig.

[T. A. Gardner]

How many times does this have to be polled up the right-wing flagpole before the reds learn? I read about it in National Geographic in the 60s. It is what the owners do to scare people from demanding fair pay. If they could have replaced the workers they would have already.

What's that? So long counter service help...

In San Fran, deep in the heart of Socialism, they're already introducing burger making machines too...



If putting in a million dollar robot to do the job of a $15 an hour person is a better deal, the million dollar robot wins every time.

[cancel2 2022]

Probably as many as they see necessary to implement help for the American people, why they are there, and not to worship an individual

Never complain about the deficit and national debt again then, Arsecheese!

[cancel2 2022]

How many times does this have to be polled up the right-wing flagpole before the reds learn? I read about it in National Geographic in the 60s. It is what the owners do to scare people from demanding fair pay. If they could have replaced the workers they would have already.

Why would the NG be discussing burger making in the 60s, Nerdberg?

[cancel2 2022]

Shades of Carter......

The effect of a huge stimulus package on top of a recovering economy plus a useless green deal touting more windmills, will undoubtedly result in runaway inflation.

[Legion]

Why would the NG be discussing burger making in the 60s, Nerdberg?

I doubt that it did.