European, US Safety Net Amidst This Pandemic
Current pandemic outbreak had put almost all of the countries in crisis. Crisis in the health of their citizens and crisis in their economy. As of today every governments are taking actions to answer their citizens concerns.
Even countries with rich societies and considered as highly urbanized had not been safe from this pandemic. European region and the U.S., had been also experiencing the impacts of this pandemic. Various economic challenges had been faced by this countries with regards in this situation.
Governments with abundant resources, such as US and European countries had shown commendable policies for their citizens. Citizens in this countries are now provided by assistance from the government. Safety nets of this country shows contrast to what the other countries have.
Contrasting the US and Europe’s safety net
Both of the US and European region had suffered from the impacts of this pandemic. Observable difference had been seen by many analyst towards the safety net of this two. They had start comparing the different aspects in the safety net of these countries.
Europe during this pandemic had experienced collapsed in its economy. Causing them to provide wage support programs for their citizens.
On the other hand during also of this pandemic unemployment rate in US surged to 14.7%. Resulting for 33.5 million citizens to apply for jobless benefits. These two country providing support to their unemployed citizens during this situation.
Andre Sapir, an economist at Bruegel Research Institute stated that US budget policy plays partly the role of the welfare system of Europe. As to him this is because welfare system in the US is less generous that can be much tougher on ordinary workers.
Sapir also added that talking about which country has a better system. He will not going to discussed it for it is a really huge issues between this two countries.
Visible difference between US and Europe’s safety nets programs
Many US and European citizens had become jobless or stopped from working when this pandemic had happened. As of now the US is offering a rescue package for their jobless citizens. This package comes with an additional $600 per week up to July
On the other hand in Europe, Germany’s jobless assistance will provide 60% of the previous salary of the citizen annually. Meanwhile, France is providing up to 75% of the citizen’s preceding daily wage up to two years. France unemployment benefit is on an average rate of €1,200 monthly.
When it comes to health insurance, approximately half of American citizens receives it from their employers Medicare and Medicaid government program provides this to the other 34%. Meanwhile it had been revealed that 6% is insured personally and 9% had no assurance at all.
In Europe, a universal health coverage is provided, it is funded fully by taxes and a payroll. Great Britain’s National Health Service provides free care that costs 7% of the government’s annual GDP.
Disability benefits in US, 8.3 million citizens get their benefits through contributions from the Social Security. Payment for beneficiary’s annual average is in $15,100. Standards and application for this benefit is very strict that is why mostly are denied.
Meanwhile in France a totally disabled individual is entitled for a €292.80 monthly as to the public health insurance payment. For those who are totally unable to work, the benefit ranges from €1,418 to €2,839 monthly.
Imposing this benefits to the citizens takes a lot of funds. US’ Social Security contributions is 6% of their GDP. While France, had allotted 16% from its GDP, in Germany it was also over 14%.
Whatever be the diverse differences in their policies. This governments are still providing the benefits they could for their citizen’s welfare.