In this episode we discuss the first disbursements of the expanded child tax credit, break down myths about why a social safety net is bad, and discuss what's in the Democrats' proposed $3.5 trillion budget.
The expanded child tax credit, passed earlier this year in the American Rescue Plan with zero Republicans voting in favor of it, is a big deal. The vast majority of American families with children will now receive $3,600 for each child between the ages of 0-6 and $3,000 per child between the ages of 7-17. This is far higher than what the tax credit was before the ARP. As important, the credit is now fully refundable, meaning even the lowest income families will receive it. What's more, half of the tax credit is being disbursed as monthly installments through the end of the year, akin to universal basic income for families with children. Government programs can be incredibly helpful to enable people to live their lives more comfortably.
Speaking of which, we also break down myths about the social safety net. Believe it or not Senator Rubio, poverty is solvable by increasing income.
Lastly, we discuss what's in the Democrats' proposed $3.5 trillion budget, among which is a proposal to make the aforementioned expanded child tax credits permanent.
Thanks for joining us.