Economics
Ending Covid Jobless Benefit Aided US Employment, Fed Study Says
- Many recipients saw more than 1-1 lost-wages replacement rate
- Findings contained in research by St. Louis Fed economists
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Ending emergency unemployment benefits had a significant impact on boosting US employment, according to a new Federal Reserve Bank of St. Louis working paper that may underline Republican criticism of a 2021 program.
The federal government provided enhanced unemployment benefits during the pandemic -- which propelled a loss of some 22 million jobs -- increasing eligibility to many individuals who would not otherwise be covered, boosting the amounts paid and extending their duration.