Le Lézard
Classified in: Science and technology, Business
Subjects: SVY, LEG, ECO, POL, AVO

FR Data Insights' New Nationwide Survey Exposes Stimulus Plan Will Fail


RALEIGH, N.C., Feb. 3, 2021 /PRNewswire/ -- A new, nationwide study of United States adults by FR Data Insights casts doubts on the potential effectiveness of the new stimulus bills pushed by Congress and the new administration. Response data suggests that recipients are unlikely to increase consumer spending dramatically and instead intend to save, invest, or pay off existing bills rather than stimulate local economies (40%+ intend to save, invest or pay bills vs. 28% on groceries or consumables. Drew Travers, head writer with FR insights notes "the common wisdom that a blanket stimulus will revive the economy is wrong at best, and dangerous at worst. A targeted solution could be more effective and efficient". This revelation should draw policy-makers attention as they work through details of the legislation, which may need a more targeted approach to be effective.

Important Findings:

  1. Only a small minority of American adults intend to use stimulus checks towards consumer spending.
  2. All age demographics had savings and investment as higher than groceries and recreational spending.
  3. All geographic regions (Northeast, Midwest, South and West) responded that their stimulus check would primarily be used for savings.
  4. Less than 1/2 of stimulus dollars will actually be used to increase consumer spending. 

Analyst Reactions:

  1. "If there ever was evidence that the blind redistribution of wealth is inefficient or ineffective, this is it." - Drew Travers, Chief Editor for FR Data Insights.
  2. "The blanket delivery of checks to American adults without consideration of need, especially when there are clear pathways to direct payments towards those in need, is at best lazy and at worst attempted bribery of the American voter." - Drew Travers, Chief Editor for FR Data Insights.

Press Contact:
Russ Jones, Editor in Chief
Finance Reference Data Insights
[email protected]
(919) 701-8036

Related Files

stimulus-responses.xlsx

Related Images

is-the-stimulus-just-burning-money.jpg
Is the Stimulus Just Burning Money
New survey suggests stimulus checks won't be spent where they are most needed.

Related Links

Finance Reference Data Insights Team

Raw Survey Data

SOURCE Finance Reference Data Insights


These press releases may also interest you

at 17:30
TuanChe Limited ("TuanChe" or the "Company") , a leading integrated automotive marketplace in China, today announced that it filed its annual report on Form 20-F for the fiscal year ended December 31, 2023 with the Securities and Exchange Commission...

at 17:30
Chesswood Group Limited ("Chesswood") , a specialty finance company with 40 years of experience in the commercial equipment finance market, today announces an update on its review of strategic alternatives to maximize shareholder value, previously...

at 17:30
The federal government will make a housing announcement in Watson Lake. Media are invited to join Brendan Hanley, Member of...

at 17:28
The Editorial Advisory and Securities Review Committee of BetterInvesting Magazine today announced Paychex Inc.  as its "Stock to Study" and Pfizer Inc.  as its "Undervalued Stock" in the June/July 2024 issue for investors' informational and...

at 17:26
NaaS Technology, the first U.S. listed EV charging service company in China, announced remarkable financial growth and operational highlights in its newly-released unaudited financial results for the fourth quarter and full year ended December 31,...

at 17:25
Five years after the transformational Merger with Randgold Resources, Barrick Gold Corporation has been restructured and repurposed as a modern mining business with a constantly replenished, global asset base of peerless quality, managed by a team...



News published on and distributed by: