Congress has cut federal funding for public media — a $3.4 million loss for LAist. We count on readers like you to protect our nonprofit newsroom. Become a monthly member and sustain local journalism.
Why Tight Purse Strings By The Wealthiest Americans Is So Worrisome
Researchers based at Harvard have been tracking spending patterns using credit card data and they're finding the wealthiest Americans are not spending anywhere near as much now than before the start of the pandemic.
That's not true for people at the bottom of the income ladder, who are now spending nearly as much as they did before the coronavirus pandemic.
Nathan Hendren, a Harvard economist and co-founder of the Opportunity Insights research team, said:
"When the stimulus checks went out, you see that spending by lower-income households went up a lot. For higher-income individuals, that spending is still way far off from where it was prior to COVID and it has not recovered as much."
Support for LAist comes from
The View From L.A.
(Courtesy Track the Recovery)
()
- As of early June, spending nationwide was down about 12.7% compared to January. That was up from a downturn of more than 30% in late March/early April.
- California has seen some of the steepest downturns in spending. As of June 3, spending in the state is down 22.9%, up from a low of 36% in late March.
- Downturns in the L.A. area have been steeper. Spending here was down 26.1% as of June 3. Lows reached near 37% in late March.
READ THE FULL STORY:
MORE ECONOMIC NEWS
Our news is free on LAist. To make sure you get our coverage: Sign up for our daily coronavirus newsletter. To support our non-profit public service journalism: Donate Now.
As Editor-in-Chief of our newsroom, I’m extremely proud of the work our top-notch journalists are doing here at LAist. We’re doing more hard-hitting watchdog journalism than ever before — powerful reporting on the economy, elections, climate and the homelessness crisis that is making a difference in your lives. At the same time, it’s never been more difficult to maintain a paywall-free, independent news source that informs, inspires, and engages everyone.
Simply put, we cannot do this essential work without your help. Federal funding for public media has been clawed back by Congress and that means LAist has lost $3.4 million in federal funding over the next two years. So we’re asking for your help. LAist has been there for you and we’re asking you to be here for us.
We rely on donations from readers like you to stay independent, which keeps our nonprofit newsroom strong and accountable to you.
No matter where you stand on the political spectrum, press freedom is at the core of keeping our nation free and fair. And as the landscape of free press changes, LAist will remain a voice you know and trust, but the amount of reader support we receive will help determine how strong of a newsroom we are going forward to cover the important news from our community.
Please take action today to support your trusted source for local news with a donation that makes sense for your budget.
Thank you for your generous support and believing in independent news.
Chip in now to fund your local journalism
(
LAist
)
Trending on LAist
-
The new ordinance applies to certain grocers operating in the city and has led to some self-checkout lanes to shutter. -
Children asked to waive right to see a judge in exchange for $2,500 -
There’s still a lot to be determined as the refinery, which supplies about one-fifth of Southern California's vehicle fuels, works to restore production and as data is collected. -
The FCC voted to end E-Rate discounts for library hotspot lending and school bus Wi-Fi. -
About half the Pacific Airshow’s 2025 lineup has been grounded because of the federal government shutdown. -
USC says it’s reviewing the letter also sent to eight other prestigious schools nationwide. California's governor vowed that any California universities that sign will lose state funding.
Best of LAist