US President Joe Biden and Democrats are preparing a new $ 3 trillion funding package. for infrastructure, schools and families. Democrats will seek Republican support, but point to the possibility of taking action by a one-party vote.
A new agenda for US lawmakers after the adoption of the top priority economic aid package worth $ 1.9 trillion. in a pandemic, the infrastructure budget becomes.
President Joe Biden held talks with Senate Democrats on Monday as Congress has already begun reviewing the budget for roads, hospitals and green energy infrastructure projects as part of Biden’s “Build Back Better” pledge.
Major US stock indexes S&P 500, Dow Jones and Nasdaq Composite rose 0.7%, 0.32% and 1.23% on Monday, respectively.
Where will the money go?
The infrastructure financing package will include, among other things, about $ 1 trillion. for the construction of roads, bridges, railways, electric vehicle charging stations and cellular networks. Biden and the Democrats plan to move the United States towards cleaner energy while increasing economic competitiveness.
The second major component of the budget is planned investment in public education and provision of
paid leave for family reasons.
House Speaker Nancy Pelosi said it will be “a big, bold and transformative infrastructure package.”
The budget amount is $ 3 trillion. has been called by various media for several weeks since the beginning of Biden’s presidency, but neither the size of the budget, nor specific articles have yet been approved, since the funding package is still being developed by lawmakers.
New one-party measures
Since the Democrats have a majority in the House of Representatives and half of the votes in the Senate, it is expected that these measures could gain the support of both houses of Congress. Thus, the new “infrastructure package” could be passed by a one-party vote, similar to how the $ 1.9 trillion pandemic relief bill was passed, which no Republicans voted for, pointing to debt financing.
Marketinfo.pro previously wrote that Biden’s team is preparing a major tax hike in the United States, which could help finance infrastructure projects.
On Monday in the Senate, Republican leader Mitch McConnell, as part of the beginning of the budget review on infrastructure, called the Democratic proposals “a Trojan horse for massive tax hikes and other leftist policies that kill jobs.”
McConnell said the ambitious plan to tackle climate change will cost “incredible sums.”
Biden is expected to present his budget in the coming weeks, and a legislator-agreed infrastructure package could be ready by the summer.