Congress has approved the next round of economic stimulus to help Americans hurt by the COVID-19 pandemic. The bill now goes to President Trump’s desk for his signature.
Gov. Gavin Newsom said he is grateful for additional relief at last, but wishes the bill was more robust. For those who will get it, a $600 stimulus check is nice and an additional $300 a week in unemployment benefits is helpful, but not likely will not be nearly enough for people who have been battered by the pandemic’s economic impact since March.
"It is definitely better than nothing at all, but it is not going to be enough," said Dr. Laura Gonzalez Alana, associate professor of finance at CSU Long Beach, speaking on KCBS Radio’s "The State of California."
"The economy is going to continue hurting until the summer and we are going to need a strong plan to start in January to put people back to work."
She said it falls especially short in California as the bill does not take cost of living into account. $300 a week goes much further in other parts of the country.
"The cost of living in California is very different than the cost of living in other states so in California we will have to supplement this with other initiatives, whether they come from the federal or California governments. But clearly this is not going to be enough to help the families get by until the summer."
The relief bill also fails to address other aspects of the pandemic’s economic impact that need attention, like greater support for small businesses, said Dr. Gonzalez Alana. She said too many small business owners don't know when they qualify for new relief, or they do not have information about how to apply for it.
She expected that a broader package and deeper structural reforms will not take shape until after President-elect Biden takes office.
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