Breaking Your Leg, Handing You A Crutch
"The money will go to pay basic bills, said Demskie, 46, of Conway, Arkansas, who lost her job in April while she was in the hospital with Covid-19."
Not being very specific about how or why she lost her job, could it be because it was due to the government lockdowns? of course this is just me perfecting I do not know the reason and the article does not clarify.
"“Anything that’s coming from the government right now is greatly needed,” she said."
I wonder why it is greatly needed? The government put us on lockdown, forced business to shutdown causing millions to lose their jobs and their businesses. This women seems to have a very bad case of Stockholm syndrome.
"Demskie is one of them, having signed a letter as part of a group of mothers from all 50 states asking President Joe Biden and Vice President Kamala Harris to keep the expanded credit, including monthly payments, to help them juggle responsibilities at home and work."
The Democrats will be trying to make the child tax credits permanent, this is going to cause prices to continue to rise like they have been these last few months or even these last few decades.
" “As mothers, we say loud and clear: we need help,” they wrote. “Many moms want to be at work right now, but have either been laid off or can’t return because of demands at home."
Again why is CNBC not acknowledging why these mother need help in the first place? Its almost as if the media is not about trying to find out the whole story, but just the story that achieves their political goals. I can tell you the government shutting down the economy might have a little something to do with these mothers being laid off, but cant return because of demands at home? how does this make any sense? so you had no demands at home before the lockdowns, but now after the lockdowns you do? Something smells fishy here for sure.
"Half of the new sums will be available to families via monthly payments, with the rest to be paid when they file their tax returns. The credit also now includes 17-year-olds. In addition, it is now fully refundable, so lower earners stand to get more money."
Have you ever heard of Universal Basic Income? I have and I remember everyone telling me "the government would never do that, they don't do nothing for us" That is exactly right they never do anything FOR us they only do things TO us. Many people would see getting monthly checks as a good thing or at least as a shrug whatever I will take it, but what many people don't understand is what happens when the government expands the money supply. When the money supply increases it causes more money to be chasing the same amount of goods, as expanding the money supply does not cause the supply of goods to increase and therefore prices will start to rise as demand will be increasing. So this is why the government will in fact have no problem expanding the tax credits or "Universal Basic Income" as you'll be spending more for goods and there for paying more in sales taxes as well.
"Estimates suggest the new child tax credit and other initiatives tied to the American Rescue Plan Act will help cut child poverty in half."
I can tell you exactly why it will not cut poverty in half, it probably wouldn't even cut it by a quarter. What is the one way to get out of poverty? Well your income has to grow, you have to be employed and continue to move up the economic latter. If you just stay at the same wage you'll be stuck in the same position and since there is no work requirement for these child tax credits it is unlikely that it would actually make people climb the latter, lets also remember what I said earlier when prices keep rising due to these child tax credits it will be like you were never getting them to begin with. This makes me think this could actually cause more people to end up in poverty, because for the people who are not getting this money they will just be stuck with higher prices without the increase in income.
"Consequently, many officials, too, are calling for the changes to be made permanent. Among them is Treasury Secretary Janet Yellen, who said in an interview this week that it is “very important to continue” the enhanced child tax credit."
They need it to be permeant, when the printing press slows down the whole system will collapse.
"“Planning is the key thing,” she added. “If I could just be able to save money, that’s worth a lot to me.”"
This is the most ironic quote throughout the whole article, she says if she could just be able to save money. Why would she not have been able to save money years before now? Of course nothing stops someone from saving so there really is no excuse, but how many people who don't save might if the interest they were getting on their savings was 5 percent or more? I think maybe more people might be saving don't you think? Well in order for the government to provide these child tax credits they have to buy government bonds, when bonds are bought up it causes yields to fall which means interest rates will fall. So as long as this women wants her tax credits then she can expect her savings to actually lose money rather than be preserved.
This is just what we call the government breaking your leg and handing you a crunch, democrats fight like hell to get you the crutch and republicans fight like hell to not give you the crutch. Well I am sitting here trying to tell everyone that they should not be breaking your leg to begin with.
https://reason.com/2021/05/27/expanding-child-tax-credit-will-not-fight-poverty/
#politcs #government #fed