Passed the US Senate’s 2100 trillion won “Best economic stimulus plan ever”

The US Senate passed the $1.9 trillion (about 2140 trillion won) economic stimulus package bill proposed by President Joe Biden on the 6th (local time). The bill, dubbed the “American Rescue Plan,” is expected to be signed by President Biden next week after a vote in the House of Representatives on the 9th.

The Washington Post (WP) said, “It is the highest level of economic stimulus ever passed by Congress to respond to the recession. It is expected to raise the growth rate this year to the highest level in decades and to rescue a third of Americans in poverty. It is expected,” he said.

Senate Democrats and Republicans passed the bill 50:49 after a 25-hour marathon debate, starting the day before. All Democrats voted in favor, and Republican lawmakers rejected the vote except for the one who was unable to vote due to personal circumstances, resulting in a partisan vote.

The Senate voted on an amendment to remove the minimum wage increase from the bill passed by the House of Representatives on the 27th of last month and reduce the scope of citizens eligible for cash payment. Democrat Joe Manchin, who opposed the House of Representatives for paying too much money, turned in favor, but none of the Republicans agreed.

The revised bill is sent back to the House of Representatives to go through the voting process, but the Democratic Party is the majority party, so it is most likely to pass. As President Biden, he succeeded in pursuing policies that had been ranked as the top priority after taking office. Biden made a pledge to quickly pass a massive economic stimulus plan to rescue Americans suffering from the novel coronavirus infection (Corona 19). However, the promise to become the president of all by uniting the United States divided into Democratic and Republican parties has passed away.

President Biden said in a speech at the White House shortly after the Senate was passed, “I promised that help is coming, but today we are taking a big step forward to fulfilling that promise.”

Senate Republican Representative Mitch McConnell criticized “the Senate has never spent $2 trillion in more violent or less rigorous procedures.”

According to the bill, adults with an annual income of less than $80,000 (approximately 90 million won) or couples with less than $160,000 will receive $1,400 (approximately 1.58 million won) per person. In the House of Representatives, the standards set for individuals with incomes of less than $100,000 (110 million won) or couples with less than $200,000 were strengthened. 85% of American households receive cash, the White House said. In the case of unemployment benefits, which had been in sharp conflict, the amount paid from 400 dollars a week was reduced to 300 dollars, and the unemployment benefit amount up to 1,200 dollars was tax-free. Large budgets are also allocated to the state and local governments to support the corona19 vaccination and resumption of school classes.

Experts disagree on the long-term impact of this stimulus on the US economy. There are concerns that the amount of money loosening is too large, which could overheat the economy and lead to inflation. Some SMEs and self-employed people criticize the government for so much money that unemployed workers have no incentives to return to work, the WP said.

Progressives argue that 13 million Americans can be relieved from poverty, and child poverty will be cut in half, arguing the need for large-scale stimulus measures. In particular, as Corona 19 has hurt low-income groups, black people, and Hispanics, the remedy that focuses on them is natural.

Washington = Correspondent Park Hyun-young [email protected]