9 ms·
It was. You don't understand what you have linked me. Trump's tax cut - 12% of GDP CARES - 12% of GDP Further stimmy (iirc, this was a bill passed in December
by hogFeast 5y ago
It was. You don't understand what you have linked me.
Trump's tax cut - 12% of GDP
CARES - 12% of GDP
Further stimmy (iirc, this was a bill passed in December after the election) - 5% of GDP
Biden Stimmy - 10% of GDP
Infrastructure Bill - 15% of GDP
This is why the CBO's projections have suddenly become very controversial. As I made clear, this is not all current spending. It is difficult to talk concisely about all the packages above because the cadence is totally different but the quantum of the effect in the medium-term is 40-50% of GDP (it is probably a bit higher tbh). This only becomes apparent over the medium-term and future % of GDP, obviously, depends quite heavily on GDP growth elsewhere in the economy. The size of the fiscal stimulus being applied however is massive (the chart you linked me shows 10ppts of growth...you realise this supports my argument? 25% growth is a lot in one year...it hasn't happened outside of wartime afaik).
- md_ 5y agoOne of us definitely doesn’t understand something here.