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How stimulus money could affect the economy

Posted at 9:56 PM, Mar 20, 2020
and last updated 2020-03-20 23:18:58-04

BALTIMORE — Right now federal lawmakers are rushing to get checks in people’s hands.

$1,200 per adult, $500 if you have a kid, less if you make over $75,000 and nothing if you make over $99,000.

“Having a thousand dollars helps a lot it really does,” said Kelly Boham a Baltimore City Teacher. “There’s rent coming up, bills coming up. I know some of the companies are trying to help. I know companies like Boost Mobile are giving credits to the customers.”

Neil Jesani is the CEO of Beamalife Corporation.

He specializes in investment strategy.

He says it’s important that the government focus on two major things to help everyone.

“You give the zero interest rate to the banks and corporations, almost free money,” said Jesani. “Than you give other tax benefits so on so fourth. The bottom slot that’s where you put the money in people’s pocket. That is very important at this time. Actually sending a check that is the best thing government can do right away.”

He said coronavirus is already pushing us into another global recession and we could approach another depression.

“We need to put the money in actually people’s pocket. This is a very scary period for these folks. As we know a majority of people, more than 50% in this country are one paycheck away from bankruptcy. That would be a big help to these folks and to the economy at large.”

He said the confidence to spend is virtually gone for people in America.

Leaders are ready to spend more than a trillion dollars to stimulate economy to help boost business, but it has to come from somewhere.

“This is actually coming from the budget deficit. It means simply that the government is printing some more dollars, that’s it. That creates the additional deficit burden and someday somebody has to balance the budget and pay off this budget.”

He estimates a deal to send out checks will come next week.

A Band-Aid for a very large hole in everyone’s pockets.

“Most of that’s going to go to bills, most of that is going to go straight back into what I owe,” said Zachary Gailes a bartender and college student. “It’s not going to do much to stimulate at least for lower income folks or students like myself.”