FOR IMMEDIATE RELEASE
February 25, 2021
Maddy McDaniel, Communications Director
[email protected] or 914-471-7716
STATEMENT: UNEMPLOYMENT CLAIMS REMAIN HISTORICALLY HIGH, SHOWING URGENT NEED FOR AMERICAN RESCUE PLAN
Unemployment Claims Have Been Higher Than Their Peak During the Great Recession for Nearly a Year
Expanded Unemployment Insurance Benefits Are Set to Expire on March 14, Threatening to Push Millions Into Poverty Without Additional Relief
Majority of Americans Want a Large Covid Relief Package As Soon As Possible, Even Without A Bipartisan Vote In Congress
WASHINGTON, D.C. — Another 730,000 Americans filed for unemployment benefits last week, according to the latest data from the Bureau of Labor Statistics. Expanded unemployment insurance benefits are set to expire on March 14, which could send millions of Americans into poverty and pull hundreds of billions of purchasing power out of the U.S. economy.
Invest In America’s spokesperson Maddy McDaniel issued the following statement:
“For nearly a year, more people have filed for unemployment every single week than at the height of the Great Recession — and now, millions of Americans are about to be left in the lurch when expanded unemployment insurance benefits expire in two weeks. When unemployment benefits expired last summer, nearly 4 million people fell into poverty. We can’t let that happen again. We need the American Rescue Plan now to fix the economy by putting money in the pockets of struggling Americans, supporting small businesses, helping state and local governments keep essential workers on the jobs and get Americans vaccinated, and safely reopening our schools.”
Economists are available to discuss the implications of this week’s jobless claims — reach out to [email protected] to get in touch.
President Biden’s COVID relief plan would boost GDP by 4 percent by the end of 2021, according to a Brookings analysis. The robust plan provides for another round of direct stimulus checks, an expansion of unemployment insurance, and much-needed relief to state and local governments, renters and homeowners, and small businesses, among other key provisions.
Expert research shows that these measures are needed to rescue and grow the American economy.
Expanding unemployment insurance now would support more than 5 million jobs, and boost the GDP by 3.7%, according to the Economic Policy Institute.
Every dollar spent on unemployment insurance generates a $1.64 increase in GDP.
Every dollar invested in state and local aid generates $1.36 in GDP growth
Federal Reserve Chair Jerome Powell credited the stimulus checks and additional unemployment insurance passed in 2020 with a rebound in household spending.