Author Topic: Economic impact of the COVID-19 coronavirus outbreak  (Read 2638 times)

Offline mountainmoma

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Re: Economic impact of the COVID-19 coronavirus outbreak
« Reply #60 on: March 26, 2020, 12:32:26 PM »
From the Washpost article linked (it has been un-paywalled)

"What about people on Social Security? People on Social Security are eligible to receive the coronavirus relief payment as long as their total income does not exceed the limit. Low-income Americans on Social Security do not need to file a tax return. As long as they received an SSA-1099 form (the Social Security benefit statement), the federal government will be able to send them a payment via the usual way they get their Social Security payment. Retirees and people on disability are both eligible for the special payment. "

"Who won’t get a check? The main people excluded from receiving a payment are the wealthy, “nonresident aliens” (i.e., foreigners who do not hold a green card) and “dependents” who can be claimed on someone else’s tax return."

"Are the checks taxable? No, they are not taxable. The only catch is that technically a person’s 2020 income is what qualifies them for the payment. Since no one knows their total 2020 income yet, the government is using tax returns from 2019 and 2018 to figure out who qualifies for a check. It is possible that someone may have to pay back some of the money if his or her income this year turns out to be significantly more than it was in 2019 or 2018. That’s expected to be a relatively small share of people, and the money would not have to be paid back until April 15, 2021. "

well that is a good change, they originally didnt have a provision for social security.  That will take care of alot if the people with low incone

Offline mountainmoma

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Re: Economic impact of the COVID-19 coronavirus outbreak
« Reply #61 on: March 26, 2020, 03:09:44 PM »
It sounds like the unemployment benefits, which are state programs, are being very generously added to by the federal stimulus money, which makes me wonder even more why the rush to have renters out here so easily stop paying rent, except that a certain segment of people here dont care much about private property rights, it just seems premature, and now, see, the unemployment for the low income earners should be about what they had when employed, dont see how they could not meet rent.  Now, small business and commercial rents, that will be a problem

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The $2 trillion stimulus package will pay workers $600 a week on top of whatever sum they receive in their state-level unemployment claim for a period of up to four months, according to provisions in the Coronavirus Aid, Relief, and Economic Security (CARES) Act.

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The CARES Act will cover unemployment payments for both jobless self-employed workers and independent contractors.


Many states typically have what’s called a “waiting week” between the time a person files a jobless claim and when they start receiving unemployment benefits.

The CARE Act says the federal government will pay the cost of that first “waiting week” so people can have quick access to cash, according to an analysis from Sen. Charles Grassley of Iowa, a Republican.

https://www.marketwatch.com/story/the-2-trillion-stimulus-deal-will-help-those-filing-unemployment-claims-heres-how-2020-03-26?mod=article_inline

Offline Mr. Bill

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Re: Economic impact of the COVID-19 coronavirus outbreak
« Reply #62 on: March 27, 2020, 05:41:15 PM »
Trump has drafted General Motors to make ventilators.

3/27/20: Statement from the President Regarding the Defense Production Act

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Today, I signed a Presidential Memorandum directing the Secretary of Health and Human Services to use any and all authority available under the Defense Production Act to require General Motors to accept, perform, and prioritize Federal contracts for ventilators.  Our negotiations with GM regarding its ability to supply ventilators have been productive, but our fight against the virus is too urgent to allow the give-and-take of the contracting process to continue to run its normal course.  GM was wasting time.  Today’s action will help ensure the quick production of ventilators that will save American lives.

3/27/20: Memorandum on Order Under the Defense Production Act Regarding General Motors Company

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By the authority vested in me as President by the Constitution and the laws of the United States of America, including the Defense Production Act of 1950, as amended (50 U.S.C. 4501 et seq.) (the “Act”), it is hereby ordered as follows: ...

Sec. 2.  Presidential Direction to the Secretary of Health and Human Services (Secretary).  The Secretary shall use any and all authority available under the Act to require General Motors Company to accept, perform, and prioritize contracts or orders for the number of ventilators that the Secretary determines to be appropriate. ...

Offline FreeLancer

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Re: Economic impact of the COVID-19 coronavirus outbreak
« Reply #63 on: March 27, 2020, 07:20:00 PM »
So much for the free market solution......

Offline Carver

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Offline David in MN

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Re: Economic impact of the COVID-19 coronavirus outbreak
« Reply #65 on: March 28, 2020, 08:45:06 AM »
Chef Thomas Keller was the first (to my knowledge) to sue his insurance because depending on where you sit this type of event could be covered. There's going to be a lot of murky legaleze untangling exactly what the role of insurance right now is.

Offline David in MN

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Re: Economic impact of the COVID-19 coronavirus outbreak
« Reply #66 on: March 29, 2020, 11:27:04 AM »
You can fly round trip NYC to LA for $65.

I took a little solace from Gene Epstein who has made a point that all the businesses suffering right now aren't bad businesses but suffering a cash flow problem so if they can get creditors and landlords to float for a while we might see a quick recovery. Maybe some good economic news.

Offline FreeLancer

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Re: Economic impact of the COVID-19 coronavirus outbreak
« Reply #67 on: March 29, 2020, 04:42:03 PM »
President Trump says federal guidance urging social distancing will stay in place through April 30. He backed off his hope that the country will be “opened up” by Easter Sunday, saying that deaths due to the coronavirus will likely peak in two weeks. ”Nothing would be worse than declaring victory before the victory is won," he said.

Offline David in MN

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Re: Economic impact of the COVID-19 coronavirus outbreak
« Reply #68 on: March 31, 2020, 12:27:17 PM »
Article on the BS stimulus, how it was a procedure blunder, all the pork, and how Pelosi got another one past the GOP.

https://thefederalist.com/2020/03/30/how-republicans-helped-nancy-pelosi-pass-another-unexamined-pork-stuffed-stimulus/

There are some interesting things that will come out of this, too. In my life the industries the highest regulated and tied to the state have all been the ones to blow up. Whether it's banking, housing, medicine, war, (soon to be education) it's all the stuff we hand to the government that go wrong. I hope in some aftermath we can assess exactly how the CDC bungled the tests while the FDA forbade private development. And then we need to use a war powers act to let non-FDA approved manufacturers make life saving equipment they could have been doing 4 months ago. What's the cost of banning the private sector, having a rush-rush throw money from helicopters bailout, and a mad scramble to cobble together supplies?

I am  curious if our society could manage to eliminate and streamline red tape to cut costs. It's the tiniest example but eliminating open container laws is telling. Granted it took a global disaster to realize letting people walk around with a beer is fine. But maybe we could take a knife to the legal code more  generally. It's a hope.

Offline surfivor

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Re: Economic impact of the COVID-19 coronavirus outbreak
« Reply #69 on: March 31, 2020, 07:33:29 PM »
On a recent listener call back, Jack was saying someone he talked to had a mortgage deferment for 12 months without having to prove a hardship

I saw that they recently passed Care Act that seems to mandate something of that sort for mortgages that are insured by the federal government

However, the way jack described it it sounded as if you could just suspend all mortgage payments though that sounds too good to be true. It seems to me rather that you would have to pay a giant lump sum after the 12 months to make up for the deferment which why would he promote that as a great idea ? I am really not sure what it all means

https://www.edwardjones.com/market-news-guidance/guidance/cares-act-highlights.html

“Mortgage Relief for Homeowners: Requires the servicers of federally backed mortgages to postpone mortgage payments at the request of the borrower, provided the borrower affirms financial hardship due to COVID-19. The postponement must be granted for up to 180 days and extended for an additional period of up to 180 days at the request of the borrower