Economist Gary Shilling:
This pandemic is likely to be the most disruptive financial and social event since World War II, with equally long-lasting consequences. Many will no doubt restrain spending in future years to rebuild savings, especially since the crisis caught them at a time of high debts and short financial reserves.
A Fed study found that 40% don’t have enough cash on hand to cover an unexpected $400 expense. Also, the $600 extra unemployment checks on top of state unemployment benefits may induce some never to return to work, especially since those payments will probably be continued into 2021.