April 5, 2020
St. Louis Fed President James Bullard shared his perspectives on the impact of the partial economic shutdown due to the coronavirus pandemic. He also talked about the recent fiscal relief package, which is intended to keep everybody whole during this period, during an interview on the CBS News program “Face the Nation.”
Bullard discussed the labor market at a time when people are being asked to stay home as an investment in national health. He cited estimates for the unemployment rate from a March 24 post on the St. Louis Fed On the Economy Blog. (See “Back-of-the-Envelope Estimates of Next Quarter’s Unemployment Rate.”)
Bullard also addressed the recent surge in unemployment insurance benefits claims. “In some ways, the uptake on the unemployment insurance program is a good thing, because it means you’re getting the transfers to the people that are being disrupted by this health-ordered shutdown,” he said.
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