The coronavirus pandemic took a significant toll on the word from both a public health and economic perspective. More than a million people have died, and the economy was plunged into a recession. The recession saw an attendant drop in employment, and a skyrocketing unemployment rate. The ramifications of the coronavirus’ impact on the economy were felt by everyone, from minimum wage workers to large corporations.
However, as the virus started to drop in intensity, there were hopes that the economic sector would experience a quick recovery. Though this has not exactly been the case within the United States.
As of September of 2020, roughly 300,000 Americans permanently lost their jobs, according to Reuters. Reuters also reported that approximately only 10 million of the jobs lost due to the pandemic out of the 22.2 million were recovered. This is disheartening news as it reflects the dire circumstances within the employment market.
After the Department of Labor released these startling statistics, it became clear to many that additional fiscal support may be necessary. The initial CARES package ended in late July in turn leaving many Americans without money to support themselves.
Many have speculated about the impact the job report will have on the outcome of the presidential election. According to James Knightley, chief international economist at ING in New York reports that “the jobs report adds to Trump’s woes.” He continued to say that “betting odds signal a diminished change he will win re-election and a much higher probability of a Democrat clean sweep.”
Chief economist at MUFG Chris Rupkey echoed the calls for a stimulus package in a statement. He said, “the virus is in the driver’s seat and is controlling the speed of the recovery and right now the economy is in the slow lane unless Congress and the White House can settle their differences and provide additional stimulus.”
Even prominent businessman from the hit show Shark Tank believes America is in dire need of stimulus checks in order to mitigate the impacts of the recession.
Therefore, the United States is in a less than desirable position from both an economic and public health perspective. There remains a large degree of disagreement over what the best path forward is, but most experts contend that releasing more stimulus checks is the best answer. Though it will be nearly impossible to implement a new coronavirus relief package unless legislators and the White House can work together.