CEO Thomas Donohue of the Chamber of Commerce told CNBC on Monday that Congress must pass another round of coronavirus stimulus, assisting the U.S. economy that is already dealing with the effects of the U.S. health crisis before President-elect Joe Biden is inaugurated.
The Senate is back in session on Monday with the chamber’s return to Washington. It prospects of a renewed activity to bring together another stimulus package before the end of 2020 and before President-elect Joe Biden’s inauguration on January 20.
The stimulus bill is essential because the faster it is completed, the better it is for the stimulus recipients and, thus, the better it is for the markets and the economy.
Top policymakers and analysts see stimulus initiatives as a critical way to avoid the spread of coronavirus by pumping money into the economy through a second stimulus check, new weekly unemployment insurance, and financing services such as the production and delivery of vaccines.
Barriers exist, despite the agreement. While Biden has his COVID-19 relief proposal that includes a second stimulus check for up to $1,200 per adult, if Congress can put aside deep political divides and reach a deal, it will be Trump who will sign the right package.
The last remaining benefits of COVID are scheduled to expire on December 31. During the campaign, Biden’s commitment is to reverse what is left from Trump’s trends during his nearly four years as President.
Biden wants to double-down and invest in the Affordable Care Act’s improvements in its health care system. He needs to pump trillions into a strategy for a unified coronavirus. Additionally, Biden hopes to collaborate with Congress to create a public insurance policy similar to Medicare that anyone can buy.
It might be hard to get a divided Congress to agree to another stimulus package, unable to pass anything for months. It is likely that when Georgia holds a runoff election for two seats in January, Democrats could gain control of the Senate, potentially making it easier to pass a bill.
Donohue also discussed Pfizer and BioNTech coronavirus vaccine news, which was more than 90% effective in preventing Covid-19 in people who had not previously been infected by interim trial results. Wall Street cheered the news as stocks soared Monday.
Some of the session’s biggest winners were those who, including airlines and other travel firms, would benefit from the end of the pandemic.