Is another coronavirus stimulus check on the horizon? At this point, it’s unclear.
While job reports data released on Thursday showed more than 4.8 million jobs added in June and decreased unemployment, which would suggest the economy is on the upswing (though many economists later called these numbers obsolete), President Donald Trump is still saying he wants to issue a second stimulus check.
As Heavy previously reported, the June jobs reports were always going to be a key indicator of another round of checks. However, they no longer serve as a trustworthy measure of how the economy is doing.
In May, reports showed the country gained 2.5 million jobs, according to Nexstar Media. “If that trend continues in June, many analysts feel lawmakers would move past a second round of stimulus checks pointing to early signs of an economic recovery,” the local news company wrote.
And while data released on July 2 does point to signs of an economic recovery, coronavirus cases have skyrocketed since the surveys that inform those numbers were taken in mid-June.
Speaking to The Hill, Elise Gould, senior economist at the progressive Economic Policy Institute, stated, “Given the likelihood that states may have to re-shutter parts of their economies with the rise in cases, the job gains we saw last month may not last…”
Mark Zandi, chief economist at Moody’s Analytics, also warned The Hill that the June data is not a reflection of the rise in coronavirus cases.
But what does President Trump think when it comes to a second stimulus check, if the job reports data is misleading?
President Trump Wants an Even ‘Larger’ Stimulus Check
Speaking to Fox Business on Wednesday, Trump said that he is not only a proponent of another round of checks but that he wants a “larger” stimulus check than the Democrats.
Forbes quotes Trump as saying, “I do. I support it, but it has to be done properly. I want the money getting to people to be larger so they can spend it. I want the money to get there quickly and in a non-complicated fashion.”
So, the direct payment to Americans that will be included in the next round of coronavirus relief packages maybe even more than $1,200 per American.
The HEROES Act
The HEROES Act is the current stimulus package on the table. It was passed in the House of Representatives in mid-May, and is now being discussed in the Senate. It would have to be passed in the Senate and then signed by Trump in order to become law.
Under the HEROES Act, as Syracuse.com points out, $1,200 checks would be distributed to qualifying Americans. Dependents would also qualify for $1,200 as opposed to the $500 guaranteed under the CARES Act.
Last month, Senate Majority Leader and Republican Mitch McConnell said that the HEROES legislation will likely be the last round of direct payments issued to Americans, but what’s the timeline on passing the HEROES Act?
The July 4 holiday brings with it a two-week recess for the Senate. It’s likely lawmakers will make their decision on another stimulus check after their July 4 recess but before August 8. If they leave for their August 8 recess without having reached a consensus on the details of the HEROES Act, then a decision on checks will be delayed even further.
As Heavy previously reported, “Even if a consensus is reached on a stimulus package and it includes another round of payments, it could take weeks, if not months, for citizens to see that money hit their bank accounts.”
This post will be updated with more information as it becomes available.