Study shows 4 million fewer jobs in U.S. if Congress scraps second COVID-19 stimulus plans

Video: Study shows 4 million fewer jobs in U.S. if Congress scraps second COVID-19 stimulus plans

ORLANDO, Fla. — Another stimulus bill passed by Congress and signed by the president could help revive some of our economy.

One new study indicates if we don’t get another round of stimulus money, we will have 4 million fewer jobs next year.

Will Americans get another stimulus check? The back and forth between the White House and Congress has been hard to keep up with.

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The bottom line is the two are still very much at odds over what exactly a new coronavirus relief bill would involve. Because of that, worry is rising.

Brad Plothow work for Womply, a software company that collects credit and debit card transaction data from small businesses.

“Our fear is that the longer that this reduced consumer spending continues, and there’s no intervention in the form of government spending and stimulus, that more small businesses will continue to shut their doors, unfortunately,” Plothow said. “It gives us a really interesting view into what’s happening at small businesses across the country.”

They’ve been studying how many businesses have closed because of COVID-19.

Back in the early stages of the pandemic, Plothow said “about two five small businesses were effectively dead.”

Then the first relief bill was signed in the spring, and paycheck protection program funds and stimulus checks were received by businesses and customers.

“Some of that pain has been eased,” Plothow said. “And now we’re sitting at about 20% of small businesses, about one in five, that are effectively closed.”

However, the future is unclear without another relief bill.

An economist at Evercore estimates that without another aid package, the economy will have 4 million fewer jobs next year.

“If we can’t see some kind of intervention or change in the economic picture, then we do expect these numbers to increase, unfortunately,” Plothow said.

As more businesses close for good, more people will be left without a job. This uncertainty obviously creates uneasiness.

See the full report in the video above.