COVID-19 James Corden, "We'll Get Through This." Not. Post #12

Last night, referring to COVID-19 James Corden, and I love him, repeatedly said, "We'll get through this."

No we will not, unless more drastic steps are taken..

It is estimated that 32% of Americans will be unemployed. It is likely that not thousands, but millions of businesses will never reopen, even with the stimulus package. We are barely into the crisis and already small business owner after owner announced that are closing forever. 

THE PROBLEM

The problem is not complicated to understand. The bills do not stop for the business owner; there is the rent or mortgage, the property taxes, the utility bills, the loan payments from 2008, and the debts owed the suppliers. Loans, even without interest look like Mount Everest, since these owners will stay closed for  another two months and after that, the income will be marginal since so many customers will still be out of work.

In this supply chain everyone owed money will be in the same situation.

Then there are the workers.Unemployment covers a fraction of their obligations. And they owe money for housing, food,cars, health costs, clothes, student loan debt and more.

Right now ther can be no evictions or utility cut offs for non-payment but eventually those bills come due.

THERE IS A SOLUTION

There needs to be payments, grants, not loans, immediately, so that the business owners do not throw in the towel. Loans can work after this is over to rebuild the economy.

The unemployment compensation must be comparable to the lost wages and it is for everyone, not just those with social security numbers.

HOW DO WE PAY FOR THIS

That is the easiest part, if this nation has the will to do the right thing. We go back to a progressive tax structure of forty and fifty years ago. Those tax rates never crushed U.S. investments, they only limited the excessive profits. Yes, I am talking about taxing the rich, the one per cent.

HOW THIS HAPPENS

The 2020 elections will have the same consequences as the 1932 election. In 1932 the nation faced a choice of selecting a government that was to democratize the economy or one destined to grow economic inequality and seed a  plutocracy.  The difference is that in 1932  voter suppression was not coast to coast. Good luck.

SUMMARY

We  need a new government.