Larry Kudlow, director of the National Economic Council, said Sunday that the $600 checks being sent to Americans on unemployment as part of coronavirus relief efforts are expected to end in July and called them a “disincentive” for people to get back to work.
“The $600 plus-up that’s above the state unemployment benefits they will continue to receive is in effect a disincentive. I mean, we’re paying people not to work. It’s better than their salaries would get,” Kudlow said on CNN’s “State of the Union.”
“That might have worked for the first of couple months. It will end in late July,” he added.
It’s an old saw about compensation plans… people will do what you pay them to do. If you pay people to not work, they won’t. I might do the same if faced with the choice.