There’s been a dramatic spike in Americans’ economic anxiety
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Forty-four percent of Americans are worried about their ability to afford food or groceries right now, according to new data from our regular Marketplace-Edison Research Poll.
The survey results put numbers to what we’ve been seeing and experiencing anecdotally: The COVID-19 pandemic has acutely impacted our personal finances, leaving many wondering how to pay basic living expenses amid unemployment, lost income and personal tragedy.
“The main theme of the survey is fear,” said Larry Rosin, president and co-founder of Edison Research, in an interview with “Marketplace Morning Report” host David Brancaccio.
Rosin pointed to the single-largest jump in the Economic Anxiety Index® since we began the measurement of economic anxiety in 2015. Since our last survey in May 2019, economic anxiety increased for nearly all demographic groups, except for those making less than $25,000 per year.
The result is sweeping financial precarity for large swaths of the country and uncertainty about how monthly bills will get paid. Fifty-four percent of homeowners and 62% of renters are at least a little fearful that they won’t be able to make their regular payments.
Many Americans are experiencing varying levels of food insecurity, and more than half of those who make less than $50,000 per year are at least a little concerned about their ability to afford food or groceries.
“That’s a huge change over anything we’ve seen before,” Rosin said.
The spike in economic anxiety coincides with sweeping income loss: One-third of American households have lost income since the COVID-19 pandemic began. A quarter of Americans currently working have experienced a pay cut and 36% are working fewer hours. Seventeen percent are currently unemployed.
Despite expanded unemployment benefits under the CARES Act, many people are having a hard time actually getting their hands on the money. Sixty-three percent of those who have tried to file for unemployment said it was very or somewhat difficult. More than a third were ultimately unsuccessful in filing.
“It’s troubling that we have so many people in need, and they turn to the states who have these systems set up to help them, and almost two in every three are saying that it’s a difficult process,” Rosin said.
And with job loss often comes loss of health insurance, which many Americans are now experiencing during a pandemic.
“We have a health care system that’s largely predicated on being employed. And we have a large number of people who now say they’ve become unemployed or were furloughed in just the last few weeks,” Rosin said.
“And so the number of people who say that they have deep fears of an unexpected medical expense is very, very high.”
Click the audio player above to hear the interview.
The Marketplace-Edison Research Survey is a national survey of Americans 18 and older. A total of 1,018 respondents were interviewed, with 500 interviews conducted by telephone and 518 interviews conducted online. The interviews were conducted from April 23-28, 2020.
The data was weighted to match the most recent United States population estimates from the U.S. Census Bureau for age, gender, race, income and region of the country.
COVID-19 Economy FAQs
What’s the outlook for vaccine supply?
Chief executives of America’s COVID-19 vaccine makers promised in congressional testimony to deliver the doses promised to the U.S. government by summer. The projections of confidence come after months of supply chain challenges and companies falling short of year-end projections for 2020. What changed? In part, drugmakers that normally compete are now actually helping one another. This has helped solve several supply chain issues, but not all of them.
How has the pandemic changed scientific research?
Over the past year, while some scientists turned their attention to COVID-19 and creating vaccines to fight it, most others had to pause their research — and re-imagine how to do it. Social distancing, limited lab capacity — “It’s less fun, I have to say. Like, for me the big part of the science is discussing the science with other people, getting excited about projects,” said Isabella Rauch, an immunologist at Oregon Health & Science University in Portland. Funding is also a big question for many.
What happened to all of the hazard pay essential workers were getting at the beginning of the pandemic?
Almost a year ago, when the pandemic began, essential workers were hailed as heroes. Back then, many companies gave hazard pay, an extra $2 or so per hour, for coming in to work. That quietly went away for most of them last summer. Without federal action, it’s mostly been up to local governments to create programs and mandates. They’ve helped compensate front-line workers, but they haven’t been perfect. “The solutions are small. They’re piecemeal,” said Molly Kinder at the Brookings Institution’s Metropolitan Policy Program. “You’re seeing these innovative pop-ups because we have failed overall to do something systematically.”
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