The fourth stimulus check could be impossible as the most recent report on jobs has shown a sharp decrease in the unemployment rate. Sure, this is extremely good news for the economy, but it doesn’t bode well for those who have been holding onto hopes for another stimulus payment.
The drop of 0.5%, under ideal situations, might not look the most impressive, but in these circumstances, it represents the lowest level of unemployment ever since the pandemic affected the country. The last month also saw close to 943,000 new jobs which were added to the economy. Hospitality and leisure jobs were the ones that contributed to the growth the most.
The Fourth Stimulus Check Not On The Cards
Also, one of the biggest reasons for the improbability of a fourth stimulus check would be the participation rate. According to major outlets, the BLS has already gone ahead and reported that the participation of the labor force didn’t change much from June- as it touched 61.7% in July while touching just a notch lower in June.
This does point towards the conflict that most businesses have been dealing with- both small and large alike. The problem has truly been the involvement of too many jobs as well as not enough willing workers.
The recent introduction of the infrastructure bill has also resulted in the initiation of more and more jobs, with solid pay added to the docket every single month. This implies that the chances of another stimulus check seem to be ebbing. The latest infrastructure plan would see the government spending the most on it.
The unlikelihood of the stimulus check has also resulted in several companies offering incentives like free iPhones as well as higher pay. Even Wall Street has had to boost the salaries of junior bankers after social media was rife with complaints.