This is how fast Americans are spending their stimulus checks — and here’s a breakdown of what they’re buying
Economic Policy,Economy And Jobs,Commerce,Coronavirus,Life During Covid-19,Banking And Finance
When Americans received stimulus checks during the Great Recession, studies indicated many spent at least of portion of their money on cars.
During the 2008 stimulus program, up to 90% of the rise in durable good spending had to do with auto spending, according to previous research by the American Economic Association. (At that time, the government paid an individual between $300 and $600 and couples received between $600 and $1,200. The government paid $300 per child as well.)
When Americans received their $1,200 stimulus check, as many have used it to keep a roof over their head and food on the table, according to new research by a team of economists. In late March, lawmakers passed the $2.2 trillion CARES Act, which included $290 billion in direct payments. The program allowed $1,200 for people making less than $75,000 and couples making less than $150,000. It also paid $500 per child.
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