by Ruth Peterson
Most people do not understand the serious economic damage being done by the shut-down. Government and the incredible economic strength we had as a country at the beginning of this has protected people, so they do not recognize the difficulties they will face a few months into the future.
I saw a poll the other day that got me thinking about this. It was a poll about what people think about the shutdown. It was about 50/50 – people who think it’s the wrong way to handle it vs people who think it was the right thing to do. But what caught my eye was the type of education that people had who overwhelmingly approved of the shutdown. They are the people who have, not just a college degree, but a graduate degree. But those people are being protected right now – they are the ones who are in jobs that you can do from home. I’m one of those people (not the graduate degree – just someone fortunate enough to be able to do my job from home). The only thing I don’t do that is the same is wear my office clothing and drive an hour to and from work. My economic situation hasn’t changed. No big deal.
Then there are the people being protected by the government. The state has waived many of the restrictions and requirements for unemployment, so people are getting paycheck replacement during the time they cannot work. The federal government is pitching in with the extra $600 per week. That group of people is protected from the consequences of no job at all. With a majority of people currently being protected from negative consequences comes a sense that from an economic and spending standpoint we will weather the storm and come out unscathed if we can just get through ‘right now’. Unfortunately, this cannot be the case if we continue down this road.
What people don’t realize is the terrible price that we are paying in other ways. Ways that will become very clear in a short time.
- The people who suffer the most right now are people who were just entering the workforce. No jobs for them at all.
- The business owners who are struggling to stay afloat. At first, when it was two weeks, they were able to face that with just a shrug at the inconvenience. At a month, there were those who knew they were on the edge of closing – some took out loans to tide them over and help pay for employees that they had to lay off. At two months, many knew they were closing their doors permanently (all employees now don’t have a job at all). Now, they are desperate, knowing that if we have to do this until a vaccine is ready for prime time, they won’t make it.
- The people without the graduate degrees were the most likely to disapprove of this shutdown. Why? Because they are the people who are most likely to have jobs that do not allow you to stay home. Can’t run a lumber mill from your easy chair. Can’t work at a grocery store, build a house, or work in manufacturing sheltered in your home. People in those jobs are not of the protected class, and the reality of what is coming down the road is very real to them. They see the economic dangers that lie ahead.
- The extra $600 a week has ended. Many people will become unprotected in a hurry, they will lose their homes and cars. They can’t pay their bills. Even if there is a moratorium on many of the bill collections, it doesn’t mean what they owe goes away – they will just be way behind.
- The state cannot print money. It either has to cut expenses or raise taxes to fill the hole. The Democrat majority has stated clearly they do not wish to cut expenses. They have also clearly stated that they will raise taxes. What taxes are on the docket? Payroll taxes (triple the L&I payments), Income Tax, Mileage Tax, and they still want a Carbon Tax.
We are in a lot of trouble, but majority of people are protected and do not recognize what is coming down the road. Even those who can work from home will feel the pinch. Not only higher taxes, but with all the restrictions and new regulations, prices will increase. With the great increase in federal spending, we will have inflation. This really can’t go on, and we will pay the piper. If you think we are doing the right thing, at least recognize the terrible price we will be paying in the coming months.
