On March 11, President Biden signed the $1.9 trillion American Rescue Plan (ARP) into law. Like previous Covid relief packages, the ARP allocates significant sums to American businesses, both large and small. Specifically, the bill contains almost $107 billion in direct relief to businesses and additional, significant appropriations for various employer tax credits. The remaining $1.8 trillion, however, will support direct assistance to Americans, augmented social programs, and vaccine distribution.
More than 190,000 American workers have been laid off since March across 1,900 companies that received loans through the Paycheck Protection Program (PPP). The companies intended to support 251,000 workers – instead, they laid off 76 percent of them. About one in eight of those workers lost their jobs permanently.
When social science finally confirms a widely-held belief—and billions of taxpayer dollars are at stake—people pay attention.