US $ 1.9 trillion pandemic assistance bill. was finally passed by the House of Representatives Democrats on Wednesday, the Senate made changes to the size of some items of expenditure. President Joe Biden plans to sign his “bailout plan” for the US economy on Friday.
The U.S. economy will get the boost from the COVID-19 crisis soon, as the U.S. Congress passed a $ 1.9 trillion bailout bill.
House Speaker Nancy Pelosi and Senate Majority Leader Chuck Schumer formally signed the bill on Wednesday.
This new round of assistance, which will provide funds to accelerate the pace of vaccinations in the United States, help Americans, states and affected industries, will be implemented ahead of the expiration of the previous measures. On Sunday, March 14, the US will stop additional payments for unemployment.
US President Joe Biden plans to sign his “rescue plan” for the US economy on Friday.
The peculiarity of the adopted bill was its “one-party membership” – not a single Republican voted for it. Democrats used their majority and after the bill was approved in the House of Representatives, the Democratic senators passed it through a budget agreement, which required not the support of the Republicans, but only a vote of all Democrats in the Senate.
Only one Democrat, Rep. Jared Golden, voted against the bill, citing concerns over legislative changes introduced by the Senate.
The Senate introduced dozens of amendments to the bill, key among which were:
canceling the Democratic minimum wage hike to $ 15 an hour by 2025;
limiting the right to receive direct payments of $ 1,400 only to those Americans who have an annual income below $ 80,000;
reduction of the size of additional weekly unemployment payments from $ 400 to $ 300, which will be valid until September 6. At the same time, the first 10 payments of $ 200 in the form of unemployment benefits are not taxed.
The final US $ 1.9 trillion bill. also includes:
the allocation of about $ 20 billion for the production and distribution of the vaccine against Covid-19, as well as about $ 50 billion for testing and contact tracing of the infected;
$ 30 billion in aid to restaurants;
assistance in paying salaries to airlines;
$ 350 billion in additional funds for state and local government budgets;
$ 120 billion in aid to education;
additional payments for the child, help with paying rent, mortgages, utilities, health insurance and others.
The main arguments of the Republicans against the bill were: the US economy is already recovering with massive vaccinations and more job growth than expected, large budget spending increases the risks of inflation, which will negatively affect the economy.
Marketinfo.pro wrote more about job growth in the US in the article “The report on new jobs in the US in February doubled expectations.”
However, President Biden and Treasury Secretary Janet Yellen are convinced of the need for this “package of measures” to stimulate the US economy, which is recovering at a slow pace.
Biden pointed out that the recovery is achieved through stimulus measures, and if financial assistance is not continued, the economy will face a recession.
“Without a plan of salvation, these gains will slow down,” he said. “We cannot afford to take one step forward and two steps back.”