DOGE cuts have taken 100s of billions off the US gov spending but also out of US consumption.
This, because the people who lose their jobs are unable, or less likely to spend on consumption.
The size of the missing sum for consumption has to be calculated (a trillion? 2 trillion?) and replaced to keep consumer spending at least at the same level to avert a recession.
Money has to flow into people s pockets before people can buy US products.
If people cannot buy US products because they have no money, it does not matter how great the US products are, the companies will go bust.
There will be too little demand for their supply.
The DOGE checks are a great solution to stimulating demand.
Who gets them and how much can depend on what sector of the US economy, Trump most wants to stimulate and on his voters. I strongly suggest he does not want to stimulate the ulrra rich sector.
If it does to pay credit card and mortgage debt, it will not be available for consumption either.
If it goes into savings, it will not be available for consumption either.
What proportion will be used for the above is not clear. But if it is a large amount, the stimulus has to be a bit larger.
Parallel, businesses like car manufacturers etc need cash grants to set up supply chains etc to fill any domestic gaps caused by tariffs, nd keep costs low.
Plus, all these measures will be very popular with voters.
If DOGE cuts social security payments, the same applies.
The social security cuts have to be offset by spending elsewhere to avert a recession.
https://www.yahoo.com/news/doge-stimulus-check-real-heres-120100787.html
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