When the government rushes out a program that lacks oversight and is based upon arbitrary rules it’s going to create many unintended consequences.  If you’re pro-Democrat or pro-Republican you can find what you like/dislike about ‘stimulus’ payments and head over to Twitter for ‘reasonable and intelligent discourse.’

This post is not about commentary.  We’ve already commented upon the ‘benefits’ of the welfare state.

This post is about how Americans are spending their stimulus payments.

The U.S. Census Bureau through its experimental Household Pulse Survey contacted 1,172,900 households of which 73,472 responded.  The following information was obtained as a result:

  • Approximately 85.5% of survey respondents said they received or expected someone in their household to receive an Economic Impact Payment or stimulus check.
  • The majority of adults in households that received a stimulus check planned to use most of it on household expenses.  Of all households about 16% paid off debt and about 14% added to savings.
  • Households with incomes between $75,000 and $99,999 were more likely to pay off debt or add to savings compared to households overall.  By contrast almost 88% of households with incomes of $25,000 or less planned to pay for daily expenses.

Of households spending their stimulus checks many reported spending it on more than one thing.

  • 80% of households applied payments for food
  • 78% of households applied payments for rent, mortgage or utilities (e.g. gas, electric, internet, cellphone)
  • 58% of households applied payments for household supplies and personal care products
  • 20% of households applied payments for clothing
  • 8% of households applied payments for TVs, electronics, furniture, appliances, fitness equipment, games and toys