A $1,000 per month cash handout would grow the U.S economy by $2.5 trillion, new study says

[StuOhQ]

NATO said:

who pays the $1000 per month, and when everyone has $1000 more to spend a month, who is to say retailers won't follow suit by increasing the price of products to reflect that?

Hand everyone free money and all you do is devalue money.

leftist nonsense, as usual.

Actually, the idea that places charge more because people have more isn't accurate. Businesses might do so at first, but when consumers are able to buy more goods, increased sales means companies are actually able to charge less for each unit and be profitable. If such and such a brand increases the price because people have more money, other companies will sell the products at a cheaper rate (as the profit margins are still high) in order to fill the increased demand. 

The two biggest misconception about economics in the US:

- Higher Wages = Higher Unemployment (there is actually more drive to work)

- Giving Tax Cuts to the Rich Promotes Growth (the poor spend a higher percentage of their income, thus further driving the economy)