Extended federal unemployment benefits have ended for 1.3 million Americans on Saturday, according to a CNBC report on Saturday morning. Beyond the personal concerns of those who have received benefits for an extended period of time, the national concern is that this will have significant implications for a recovering economic situation in the United States.
While it is predicted that jobless rates will likely drop significantly now that people aren’t getting their government funds, analysts are also concerned that the nation’s economy will suffer since people will have less money to spend on material items. Yet, this was an “emergency” program which has run its course as a part of a budget deal. It is not known if Congress – in bulk – is willing to restart the extended benefits.
The extended unemployment payments to unemployed Americans cost the United States and incredible amount of money – extending into the billions of dollars. Since 2008, the programs that give money to the unemployed have cost the nation $225 billion in a time when the nation, itself, is in extreme debt.
Reportedly, recipients of the nation’s cash assistance program are losing an average monthly stipend of $1,166.
While vacationing in Hawaii, President Barack Obama offered his support of Congress addressing the issue as soon as it returns to Washington next year. Reportedly, there is no quick fix for this matter according to the White House.