It’s the Economic Stimulus We Need Now

By: Michelle Naranjo

There is an inexorable connection between the physical health of a nation, and the well-being of its economy. In advance of his inauguration, President-elect Biden has announced an ambitious rescue plan with the intentions of healing both.

A $1.9 trillion package would surely have something for everyone: additional stimulus checks to individuals, state, and local governments, extended jobless, benefits, allocations to assist with reopening schools, fortified testing and tracing, and coordinated effort to deliver 100 million vaccines within the first 100 days of a Biden presidency. 

Currently, there has been suspicion and doubt that a federal reserve of vaccinations even exists. The states have been largely left to figure out procedure and distribution for themselves, resulting in a meager number who have been successfully vaccinated in numbers that cannot keep up with the pace of new infections. 

One support employee at the largest healthcare provider in one heavily infected state said that the provider’s call centers are overwhelmed with people trying to get the vaccine. One woman attempted to cancel the scheduled vaccinations of her “friends” because they were neither as “old, not as sick” as she is. 

It smacks a bit too much like a real-life “Hunger Games.” 

If Biden’s plan is able to be passed in its full form, Moody’s Analytics speculates that economic growth nearing 8% is possible, unemployment would fall to 4% by the end of 2022, and the entire population -- including undocumented workers -- would speed towards a herd immunity goal of having 245 million vaccinated by fall. 

But, of course, even with the country in dire straights while the COVID-related deaths leap over the 400,000 count, Republicans have been quick to resist Biden’s plan. 

Senator Rick Scott, R-Fla., was quick to issue a statement saying, “We cannot simply throw massive spending at this with no accountability to the current and future American taxpayer.” His biggest contention is the money that would be allocated to bailing out state and local government which saw significant loss of revenue during the last year. Aid to alleviate this burden was kept out of the December 2020 package by Republicans, much like it was partially sidelined in the earlier Heroes Act.

There will undoubtedly be concessions on the road to this next relief package. Still, the long tail of this immediate problem is that financial equity is not attempted, and containment of the virus is not sought; this winter will certainly not be our darkest.