Former presidential candidate Andrew Yang feels that the stimulus check was not the cause of excessive inflation and that sending further stimulus payments to people is still acceptable. He believes it is the most effective strategy to protect the American middle class and poor against economic shocks and technological upheaval.
At the Bitcoin conference in Miami, the outspoken proponent of universal basic income gave a talk. He praised the measures, claiming that the federal government had pumped trillions into the economy to keep it afloat. He contended that stimulus funds made up only 17% of the entire amount spent under the CARES Act.
The remaining 83 percent, he asserted, went to institutions. Yang ran for mayor of New York and then for president on a platform that pushed for a monthly payout from the government to residents aged 16 to 64, with no restrictions, conditions, reservations, or qualifications.
According to Yang, the Stimulus Checks accounted for only 17 percent of the American Rescue Plan Act and did not cause inflation on their own.
The stimulus check delivered to citizens, according to Yang, was a tiny factor, and the money had already been spent over a year ago. However, the rate of inflation remains unacceptably high.
He said that before the COVID-19 epidemic and the stimulus check, the main drivers of inflation were health care, education, and housing, unaffected by the federal government’s stimulus payments.
Last month, the inflation rate increased to 8.5 percent, which Yang attributes in part to a shortage of commodities, which resulted in pent-up demand.
He stated that everyone is concerned about inflation since it has made life difficult for people because their income has not kept up with the rise in costs across the board.
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Web3 has the potential to become one of the frontrunners in the fight against poverty, according to Yang.