Debt – Heiki Mon, 13 Sep 2021 21:35:18 +0000 en-US hourly 1 Debt – Heiki 32 32 generation of unemployed: another class of graduates faces a future marked by the pandemic | NPR News Wed, 07 Apr 2021 23:16:58 +0000

The job market is starting to roar, but for anxious seniors like Bao Ha, it’s a whole different reality.

“I probably applied for 130 or 40 jobs or something,” Ha says. “I haven’t even received a return email or an interview.”

Ha soon graduated from Macalaster College in Minnesota, and between his anthropology thesis and attempting to verify items on his senior year bucket list, he spent hours writing cover letters and browsing job offers. ‘use.

And now the self-doubt has started to set in.

“Maybe my cover letter sucks, maybe my CV sucks,” he says.

By many signs, the labor market is coming back: The employment report was a blockbuster, showing more than 900,000 jobs created, with a strong recovery in previously struggling industries like the restaurant business.

The problem for students like Ha is that youth unemployment remains stubbornly high. Although much better than the 27.4% rate in April of last year, the unemployment rate for 16-24 year olds actually increased, reaching 11.1% in March. This was significantly above the overall unemployment rate of 6.0%.

This is no surprise to Elise Gould, senior economist at the Economic Policy Institute. When the economy collapses, the job market tends to be worse for young people, she says.

The reality is that there may be a lot of cheaper college graduates to hire, but in an economy still recovering from major layoffs, there are also a lot more experienced workers desperately looking for jobs.

“They will choose, other things being equal, more experienced people,” Gould says of employers. “So young workers are being left behind and many are going to have a hard time starting their careers.”

Erica Schoenberg would know.

She was part of the class of 2020, which had the misfortune of graduating with the full force of the pandemic.

A year after Schoenberg watched her virtual Trinity University graduation ceremony from the sofa in her living room, she’s back with her parents because she can’t find a full-time job.

Needing an income and something to occupy the day, she took a part-time job in a fabric store and she also teaches at the Hebrew School through Zoom.

We are a long way from the publishing career she imagined, and Schoenberg is worried about the void in her CV, which is growing longer by the day.

“My mom said she thought I could put recent graduates on hold until the next few people did,” Schoenberg says.

The difficulties in finding that first job are magnified for young people of color, especially those without a university degree. Many worked in industries like hospitality and retail, where millions of people lost their jobs.

Guadalupe Avalos is in her final year at Cass Tech High School in Detroit. Last April, she only had a few months left to work part-time as a barista before the cafe closed and let her go. She didn’t even manage to master the espresso machine.

“I was just learning to use this one,” she said.

Avalos asked about jobs in her neighborhood, like a nearby pizzeria and grocery store, but she kept getting turned down.

“Yes, there was a job at a McDonald’s, but it was 20 minutes away and I didn’t have that kind of transportation available to me,” she says.

For Avalos, finding a job is important: it may determine whether she is able to afford room and board at university next fall.

“I really, really want to move out and go to a college dorm, but if I don’t have that money, maybe I should stay home,” she says.

And this indicates a reality for many young people. Not landing that first dream job, whether in high school or college, can end up derailing the experience of a lifetime.

Economist Gould says the 2008 global financial crisis could be an inaccurate comparison to the pandemic-stricken economy. But one thing it showed was how difficult it is to recover from the failure of a career start on the wrong foot.

“It took many years for some of these young high school and college graduates to gain a foothold in the job market, down the path they were trained to take, pay off their student loans, start a family, invest. and buy a house, ”she says.

Ha in Minneapolis has even more chances of finding that first job. He is the first generation in his family to graduate from college, and soon his parents will attend his graduation social distancing to see him graduate.

And while Ha isn’t sure what his future holds, he still hopes all the student loan debt, study hours, and hundreds of cover letters sent out will be worth it in the end.

“I didn’t give up,” he says. “I will continue to apply until something happens.”

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Long-term EU budget 2021-2027 and recovery plan Wed, 07 Apr 2021 23:16:57 +0000

The EU has put in place a global financial envelope of 1.8 trillion euros in 2018 the prices for the coming years to face the socio-economic consequences of the COVID-19 pandemic and to meet the long-term priorities of the EU. It combines:

  • € 1,074.3 billion Multiannual financial framework (MFF)
  • € 750 billion Extraordinary Recovery Instrument, Next Generation EU (NGEU)

1.8 trillion euros

combined CFP and NGEU funds

The package will help transform the EU by supporting the European Green Agreement and the digital transformation, and improvement resilience.

All the amounts presented on this page are in 2018 prices.

New generation EU

The European recovery plan requires massive public and private investment at European level to create jobs and repair the immediate damage caused by the COVID-19 pandemic, while supporting the EU green and digital priorities.

In order to empower the EU to meet the challenges posed by the COVID-19 pandemic, the Commission will be authorized to borrow 750 billion euros on behalf of the Union on capital markets.

750 billion euros

Next Generation EU Recovery Instrument (NGEU)

The Next Generation EU Recovery Instrument will transfer these funds to EU programs as follows:

  • Recovery and resilience mechanism: € 672.5 billion (loans: € 360 billion, grants: € 312.5 billion)
  • ReactEU: 47.5 billion euros
  • Horizon Europe: 5 billion euros
  • InvestEU: 5.6 billion euros
  • Rural development: 7.5 billion euros
  • Just Transition Fund (JTF): € 10 billion
  • RescEU: 1.9 billion euros

The multiannual financial framework

The multiannual financial framework (MFF) covers the period 2021-2027. Under the MFF, EU funding will focus on new and strengthened priorities in all EU policy areas, including green and digital transitions. Cohesion Policy and the Common Agricultural Policy will continue to receive significant funding and will be modernized to ensure that they best contribute to Europe’s economic recovery and the EU’s green and digital goals.

€ 1,074.3 billion

Multiannual financial framework 2021-2027

The MFF covers the following main areas of expenditure:

  • single market, innovation and digital: € 132.8 billion
  • cohesion, resilience and values: 377.8 billion euros
  • natural resources and environment: 356.4 billion euros
  • migration and border management: € 22.7 billion
  • security and defense: 13.2 billion euros
  • neighborhood and world: 98.4 billion euros
  • European public administration: 73.1 billion euros

Climate action

MFF and EU next generation spending should be consistent with:

  • EU climate neutrality target by 2050
  • EU climate targets for 2030
  • Paris Agreement

30% of total MFF and EU next generation spending should target climate related projects.


of total EU spending on targeting climate-related projects


To allow the financing of specific unforeseen expenses which could not be financed otherwise, a Single margin instrument (SMI) have been established. The annual ceiling for the SMI is set at 772 million euros per year (2018 prices).

Three special thematic instruments will provide additional financial means for specific unforeseen events:

  • Brexit adjustment reserve support the Member States and economic sectors most affected by Brexit (€ 5 billion)
  • European Globalization Adjustment Fund to support workers who lose their jobs in restructuring linked to globalization (186 million euros per year)
  • Solidarity and Emergency Aid Reserve (SEAR) to respond to emergencies resulting from major disasters in Member States and candidate countries, and to respond rapidly to specific emergency needs within the EU or in third countries (€ 1.2 billion per year)

EU revenue: own resources

Decision on own resources

The own resources decision, which defines how the EU budget is financed, was adopted by the Council on 14 December 2020. To enter into force, the decision had to be approved by the 27 EU Member States. in accordance with their constitutional rules. It will apply retroactively to January 1, 2021.


From 1 January 2021, the following own resources ceilings are set for the EU:

  • for installments: 1.40% of the GNI of all Member States
  • for commitments: 1.46% of the GNI of all Member States

These ceilings will be exceptionally and temporarily increased by one 0.6 additional percentage point cover all EU liabilities resulting from the planned borrowing to finance the NGEU recovery effort, until all borrowed funds have been repaid.

Sources of income

A new Own resource based on non-recycled plastic packaging waste is established from January 1, 2021. This will encourage Member States to reduce the consumption of single-use plastics, promote recycling and boost the circular economy in line with EU environmental policy objectives.

The new tax will be calculated on the basis of the weight of plastic packaging waste not recycled in each Member State, with a call rate of 0.80 euro per kilogram. It includes a mechanism to avoid an overly regressive impact on national contributions.

In addition, the EU will work on the introduction of other new own resources over the next few years.

These new sources of funding are in addition to existing own resources:

  • traditional own resources: mainly customs duties and sugar levies (Member States will retain, as collection costs, 25% of the amounts collected)
  • VAT based own resource: a uniform rate of 0.3% is applied to the VAT base of each Member State, the taxable VAT base being capped at 50% of GNI for each country (the methodology will be simplified)
  • Based on GNI own resource: resulting from a uniform rate applied to the gross national income of the Member States, this rate is adjusted each year in order to balance revenue and expenditure (unchanged)


For the period 2021-2027, flat-rate corrections will reduce the annual contribution based on gross national income by Denmark, Germany, Netherlands, Austria and Sweden.

New budgetary conditionality mechanism

A new regulation puts in place what is called a “general conditionality regime” to protect the EU budget. It applies where it is established that violations of the principles of the rule of law in a Member State affect or seriously threaten to affect the sound financial management of the EU budget or the protection of the financial interests of the EU. EU in a sufficiently straightforward manner.

The EU budget: a plan for the future

The EU budget has always evolved with the needs of the Union, responding to changing political, social and economic contexts. Its story is a fascinating story of evolution and adaptation, of compromise and of a vision for a common future. It is a story of transformation in Europe and a positive impact on the lives of millions of people. Discover the history and stories that explain how the EU’s long-term budget works for Europe.

Sector programs 2021-2027

The long-term budget provides the framework for financing almost 40 EU spending programs over a seven-year period. Most of the EU’s sector funding programs are expected to be adopted in early 2021 and will apply retroactively from early 2021.

Here is some examples of new and strengthened programs under the 2021-2027 MFF.

In order to support the digital transition, a new financing program, Digital europe, is created to promote the deployment and large-scale adoption of key digital technologies such as artificial intelligence applications and advanced cybersecurity tools. The digital aspect of the Mechanism for interconnection in Europe will also benefit from a significant increase in funding.

A new EU4Health The program will provide a solid basis for EU action in the health field based on lessons learned from the COVID-19 pandemic.

In the field of research and innovation, the Horizon Europe will benefit from a significant increase once funding on the basis of the EU stimulus instrument becomes available.

In the space sector, the EU is proposing a fully integrated space program, which brings together all the activities of the EU. By improving efficiency, it will contribute to the deployment of new space services that will benefit EU citizens and businesses.

To support the most vulnerable carbon-intensive regions in their transition to a climate neutral economy, a new Just Transition Fund is created. It will receive funding under the next long-term budget and the EU stimulus instrument.

Youth programs, such as Erasmus + and the European Solidarity Corps, will also be reinforced, with the Erasmus + program expected to triple the number of participants during the new MFF.

Support migration and border management has also been considerably strengthened, in particular to finance up to 10,000 border guards available to European Border and Coast Guard Agency by 2027.

In the field of security and defense, a new European Defense Fund was created to promote the competitiveness, efficiency and innovative capacity of the EU’s defense, technological and industrial base.

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Recovery loans of up to £ 10million available for businesses in need of support Wed, 07 Apr 2021 23:16:55 +0000

government guaranteed loans of up to £ 10million are to be made available to businesses that need support until the end of the year.

As announced in the budget last month, Chancellor Rishi Sunak opened the Treasury Clawback Loan program to roll back businesses as old Covid-19 loan programs are set to run out.

From Tuesday April 6, the new financial initiative will replace the Bounce Back Loan Scheme (BBLS), the Coronavirus Business Interruption Loan Scheme (CBILS) and its big brother CLBILS.

As we safely reopen parts of our economy, our new stimulus loan program will ensure businesses continue to have access to the finance they need as we emerge from this crisis.

The Treasury has pledged to cover 80% of what banks lend if companies don’t repay their loans.

Mr Sunak said: “We have stopped at nothing to protect jobs and livelihoods throughout the pandemic and as the situation unfolded we ensured that our support continues to meet the needs of businesses.

“As we safely reopen parts of our economy, our new payback loan program will ensure businesses continue to have access to the financing they need as we emerge from this crisis.”

Businesses will be able to access loans ranging in size from £ 25,001 to a maximum of £ 10 million.

Bill and asset funding will be available from £ 1,000, according to the Treasury.

The new plan, which runs until December 31, benefits from the same government guarantee as CBILS and CLBILS, but is less generous than the 100% guarantee for BBLS.

It will be administered by the British Business Bank, with loans available through a “diverse network of accredited commercial lenders,” officials said.

Businesses will be able to lend up to £ 10million through the new clawback program / PA wire

Interest rates have been capped at 14.99% and ministers are urging lenders to ensure they keep rates low in an effort to ensure business owners pay less than the cap.

The payback loan program can be used as an additional loan in addition to the support received from emergency programs put in place last year.