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Social Security could change eligibility rules for disability — blocking benefits for 750,000 disabled Americans

1. Social Security changes may strip benefits from 750,000 disabled Americans. 2. Proposed criteria could reduce SSDI eligibility by up to 20%, 30% for older adults. 3. Expected changes could withhold $82 billion in benefits over ten years. 4. Tightening eligibility criteria may worsen poverty and hardship levels. 5. Impact on current beneficiaries remains uncertain amid anticipated changes.

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FAQ

Why Bearish?

Reductions in SSDI may lead to decreased consumer spending, affecting SPY negatively. Historical indicators show economic slack influences market downturns.

How important is it?

The proposed rule change reflects broader economic policies impacting consumer spending power, relevant to SPY.

Why Long Term?

The potential loss of benefits could have lasting socio-economic effects that trail into economic recovery phases.

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