Joe Biden, and quickly. It’s a short phrase which can be heard more frequently out of the mouths of economists. It’s surprising when you consider how long people have praised Donald Trump’s economic record. Even in the presence of a pandemic.
COVID-19 has plunged the world economy into recession. The United States has found itself in turmoil, with soaring unemployment. We are all scratching our heads. The world’s economic engine needs to get back on track. A state stimulus plan is more necessary than ever.
Joe Biden has been quick on the draw. The Democratic candidate promises to release more than $2 trillion, regardless of whether it means that debt skyrockets a bit more. It is an emergency. No wonder economists are looking favorably on a possible Biden’s win.
But this win will have to be triumphant. The Democrats must win a majority in both houses of Congress. Winning the Senate, which is currently Republican, would give Democrats the freedom they need to implement their program.
Why is that? A narrow victory would allow their opponents keep their hands on Congress and therefore block Democratic action. In short, it’s Biden for Congress, or nothing.
On an economic level, the amount that Biden wants to inject into the economy represents security for the future. Like the European recovery program, the emphasis is on green energy, with the goal of achieving carbon neutrality by 2050. Washington is taking the same route as Paris, so that the world can breathe easier.
This is determinative for the future. To maintain solid growth, the United States must bet on the economy of the future. In this respect, technologies based on solar, biomass or hydrogen will soon be indispensable. That is the cost of the productivity of the future.
As a matter of stinging detail, Biden’s corporate tax hikes, designed to water this green wave, have even appealed to a number of pundits. It seems clear that Americans want to turn the page on Trump. And what if the polls, which show Biden as the clear winner, are right this time?
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