How a New Stimulus Proposal Could Give Americans Monthly Payments

The COVID-19 pandemic has caused unprecedented economic hardship for millions of Americans. Many people have lost their jobs, their businesses, or their income sources. The government has tried to provide some relief through stimulus checks, unemployment benefits, and other programs, but these have been insufficient or temporary for many people.

A new proposal, called the Monthly Economic Crisis Support Act, aims to provide more consistent and generous support to Americans who are struggling financially due to the pandemic. The bill, introduced by Senators Bernie Sanders, Ed Markey, and Kirsten Gillibrand, would give $2,000 per month to every adult and $500 per child for the duration of the crisis and until three months after it ends.

The proposal is based on the idea that Americans need recurring payments to cover their basic needs and stimulate the economy. According to a study by the Urban Institute, a single stimulus check of $1,200 would lift 12 million people out of poverty for one month, but monthly payments of $2,000 would lift 24 million people out of poverty for at least six months.

The bill faces several challenges, however. It would cost an estimated $5.7 trillion over one year, which is more than the entire federal budget for 2020. It would also require bipartisan support in Congress, which is unlikely given the political polarization and gridlock. Moreover, some critics argue that the proposal is too generous and would discourage people from working or looking for jobs.

The Monthly Economic Crisis Support Act is one of several proposals that have been put forward to provide more relief to Americans during the pandemic. Other ideas include expanding unemployment benefits, increasing food stamps, canceling student debt, and providing rent and mortgage relief. Whether any of these proposals will become law remains to be seen, but the need for more assistance is clear and urgent.