Fed Report To Congress Says Enhanced Federal Unemployment Handouts Are Restricting Growth

In its semiannual report to Congress, the Federal Reserve pointed to enhanced federal unemployment insurance as a factor restricting economic growth.

Despite a return to normalcy in the United States following COVID-19 and the lockdown-induced recession, several analyses reveal that a nationwide shortage of available labor is dampening the recovery. The problem is especially acute in Democrat-run states that have not opted out of the $300-per-week federal unemployment supplements, which are set to automatically expire on September 6.