The number of children in America living in poverty jumped dramatically after just one month without the expanded child tax credit payments, according to a new study. Advocates fear the lapse in payments could unravel achievements in poverty reduction.https://t.co/zQLnznUp8G— The Associated Press (@AP) February 24, 2022
We already saw this appear in January's US income report, as the amount of Child Tax Credit payments to Americans went down more than 53%. will likely reduce the amount of tax refunds that many parents will get in the coming months, because they got those refunds up front every month instead of getting it in one lump sum the next Spring after they file. There may be no net change in money that individuals get, but that's not much solace to people that are counting on a certain level of income being sent to them. It's been an interesting policy experiment, and perhaps getting those Child Tax Credit funds up front is a more efficient way to contiunue consumer spending and help families pay their bills. And we've also seen other types of COVID-era stimulus fade out in recent months, as the economy has recovered and stimulus checks and other payments have gone away. Fortunately, wages and salaries and business incomes have picked up the difference, and are now well above their pre-COVID levels. re-subsidize restaurants and other industries that still have yet to recover from the pandemic. Because the recent income and spending data shows that while the overall economy was stil humming along as 2022 began, to pull away all support for families and the travel and food services sector could be a recipe for the Biden Boom of 2021 to hit a wall in 2022. So let's not do that, even if it raises prices by a couple more % than we are otherwise used to.
New data says child poverty in the US saw a 41% increase from December to January. This is a direct result of getting rid of the child tax credit. If there's anything worth blocking bridges and interrupting the flow of capital, it's hungry children. pic.twitter.com/NR62tuAVuX— Fifty Shades of Whey (@davenewworld_2) February 22, 2022