Food Bank Strains Emerge As Economy Falls Off Fiscal Cliff | Zero Hedge
The latest economic data suggest the US recovery stalled. One look at the Citi US econ surprise index, as of this week, shows the recovery ran out of steam last month. A fiscal cliff is already underway, set to enter the second week on Friday (Aug. 14) as tens of millions of Americans are unemployed and have yet to receive their stimulus checks.
The recovery, so far, is a massive economic sugar rush, entirely a function of the Trump administration on a reckless spending spree. One way the administration can artificially supercharge consumption is through issuing direct transfer payments to the working poor. The extra money has been used by households to pay down credit card bills, put food on the table, and pay housing expenses, while others used the free money to buy automobiles and FANG stocks.
President Trump signed an executive order over the weekend to fund another round of stimulus checks of approximately $400 per week, a reduction from the $600 federal aid seen in the first round from March to the end of July.
behind the scenes: food bank line in Baltimore just getting started – a lot of hungry and broke families as fiscal cliff begins pic.twitter.com/30C1OBJDSP
— Alastair Williamson (@StockBoardAsset) July 26, 2020
