Bloomberg is reporting Congress may limit total unemployment insurance benefits to 99 weeks. Because of the record long term unemployed, that's going to kick off over a million people still collecting and also being counted in the unemployment rate!
The lawmakers may have reached their limit.
They are quietly drawing the line at 99 weeks of aid, a mark that hundreds of thousands of Americans have already reached. In coming months, the number of those who will receive their final government check is projected to top 1 million.
Guess what that will do to consumer spending and GDP? Here's the thing. While we have people unemployed for two years, unemployment insurance only covers 48% of the workforce. The rest, who also cannot find a job, get nothing. If they do not have kids, they cannot get housing. They pretty much can only get food stamps.
What about the other half? You're talking 50% of the workforce population which has gotten no help.