The plan cost 350 billion U.S. dollars
Washington— The U.S. Treasury Department today launched a $350 billion plan to distribute aid to state and local governments, which further boosted the U.S. economy as President Joe Biden tried to assure the country that stronger growth is coming.
The assistance is part of a $1.9 trillion package provided by Biden to mitigate the economic impact of the coronavirus, which was approved in March. Officials say that payments may be sent to qualified governments in the next few days, allowing state, local, territorial and tribal officials to offset the economic losses caused by the pandemic.
In a speech at the White House on Monday, Biden said: “We are moving in the right direction.” “Our economic plan is working. I have never said it, and no serious analysts have recommended it to get rid of what our economy is in. The abyss will be simple, easy, straightforward or completely stable.”
Republican lawmakers have said that the aid program increases wages for the unemployed, which hurts employment because people can make more money by staying at home than at work. But Biden emphasized that most of the funds are still being paid, pointing to a new gateway for state and local government assistance.
He said: “The funds we will now allocate will bring a large number of educators, first responders and sanitation workers back to work.”
The Democratic president is pushing for greater government spending, proposing a total of $4 trillion in investments in infrastructure, households, and education to increase taxes for businesses and the rich. Some of the funding will be based on tax credits for those with children, as well as funds from state and local governments, which are part of the assistance program.