As surprising as it may seem, according to a paper from the Brookings Institute, benefits paid out under the Supplemental Nutrition Assistance Program to suburban households have doubled from 2007 to 2011, and as of 2011, accounted for 55% of all benefits paid. In general, SNAP benefits are at historical highs.
However, the spike in welfare distributed to typically more affluent areas may be a direct correlation to the struggling housing market. While the government has recently announced plans to loosen mortgage lending standards in an effort to boost housing and the overall economy, thereby preventing more workers from falling into the trap that has become long-term unemployment, the recovery is likely to remain muted and inconsistent.
ValueWalk's Raul Panganiban David Barse, Founder and CEO of XOUT Capital, and discuss his unique approach to investing. Q1 2021 hedge fund letters, conferences and more The following is a computer generated transcript and may contain some errors. Interview with XOUT Capital's David Barse