By Sarah KliffBy Sarah KliffsAssociated PressWASHINGTON (AP) President Barack Obama’s plan to make the $1.2 trillion stimulus package more affordable and more effective could benefit everyone by improving the health of the U.S. population, a new study finds.
The study from the Congressional Budget Office found that people who received benefits through the plan’s employer-based expansion would fare the best.
And that would apply to both low- and middle-income workers who would see the most benefit.
But it also found that benefits would disproportionately go to the wealthiest Americans.
The study estimates that a 20 percent increase in the federal tax rate for the wealthiest 1 percent of households would lead to a $1,000 benefit increase for every 1 percent increase for everyone else.
And a 3 percent increase would cost $3,600 to $5,400 for every person in the lowest quintile of earners.
The CBO estimates that the benefits would reach more than $1 billion to people earning up to $100,000 a year.
And about 3 percent of the plan would go to low-income families and individuals, according to the CBO.
The $1-trillion stimulus package is set to go to Congress this week for debate and vote.