Unemployment benefits and Obamacare subsidies outpace median income in several states, study finds

Former Kansas City Federal Reserve President Tom Hoenig discusses Americans’ concern for inflation as the Federal Reserve is expected to slow the pace of tightening on ‘Mornings with Maria.’ The labor force participation rate was 62.1% last month, notably lower than the 63.4% mark it was at before the coronavirus pandemic struck the United States in March 2020. There are numerous reasons that unemployed Americans aren’t entering the workforce, including ongoing fears of COVID-19, disabilities such as “long COVID,” and other care responsibilities. One factor contributing to the relatively low labor force participation rate is the combination of unemployment benefits and the recently expanded Affordable Care Act (ACA) subsidies, according to a new study by the nonprofit Committee to Unleash Prosperity. In 14 states, unemployment benefits and ACA subsidies for a family of four with two people not working amounts to an annualized equivalent of $80,000 a year in wages and benefits, the study found. A hiring sign is displayed in Downers Grove, Illinois. (AP Photo/Nam Y. Huh, File / AP Newsroom) “A key policy question these days that has befuddled federal lawmakers is why so many millions of Americans have not returned to the workplace in the post-Covid era. The US is ‘missing’ more than three million workers of working age that could be working and were working prior to Covid but are not today,” University of Chicago economics professor Casey Mulligan and Heritage Foundation research fellow EJ Antoni wrote in the study. This study shows that one factor contributing to the death of workers is the generous benefits paid to families without workers. Hiring signs are posted outside a gas station in Cranberry Township, Butler County, Pennsylvania. (AP Photo/Keith Srakocic / AP Images) , especially in subsidized health insurance to families with children and no working parents, can mean that families can earn more or more income from receiving government assistance than the median household does from working,” the authors wrote.

Leave a Comment

Your email address will not be published. Required fields are marked *