The federal stimulus package — or American Recovery and Reinvestment Act of 2009 — helped keep 66,000 Minnesotans above the poverty line, says a study by the Center on Budget and Policy Priorities (CBPP).
Word of the study is passed along by the Minnesota Council of Nonprofits, which says the stimulus helped struggling individuals and families with extra food stamps, extended jobless benefits and other help, while also bolstering the state’s overall economy when recipients spent that money in stores.
“It’s a win-win for residents hit hard by the recession and for our state’s economy,” says Steve Francisco, federal policy director of the Minnesota Budget Project, a MCN initiative.
Says the council:
Minnesota’s economic benefits likely are much higher than the CBPP analysis predicts. It only considered seven key Recovery Act programs, which combined account for only one quarter of its overall spending. The seven provisions analyzed were: increased food stamp benefits, expansion of the Child Tax Credit and Earned Income Tax Credit, the new Making Work Pay tax credit, two forms of unemployment benefits (an additional $25 per week plus extended weeks of benefits) and a one-time payment to many elderly people and people with disabilities.