The only story in Washington, D.C., this week has been the speedy action by the House and Senate to pass the $2 trillion relief package to send money to most Americans, boost state unemployment insurance, provide assistance to small businesses, and create a $500 billion stabilization fund to rescue large businesses caught in the changed economic reality of the coronavirus spread.
With passage of the CARES Act the Congress will adjourn for a month and come back in late April in order to consider additional bills to deal with coronavirus crisis. The CARES Act is a relief measure and the next bill is likely to be a stimulus act to help boost consumer spending and getting companies big and small to open their doors.
Policymaker focus will now turn to implementation: how fast can the checks be sent out, procedures for getting money to small businesses, a structure for the $500 billion stabilization fund. Obviously implementing a $2 trillion program will be a management challenge which is unprecedented and will be a real test for the Trump Administration.
2020 campaign
If the money goes out smoothly both to individuals and small businesses, and the Stabilization Fund saves jobs without abuses the success is likely to bolster the position of President Trump as the 2020 campaign proceeds.
Former Vice President Joe Biden sits at his home while the President gets daily exposure reporting to the nation about developments in the fight against the coronavirus. Biden is hampered by being the obvious Democratic candidate but not the official candidate, given the delayed primary schedule means he is unable to get the delegates he needs to clinch the nomination.
Senator Bernie Sanders still has a mathematical possibility to win the nomination but most of the states where primaries will occur in May and June are states that are likely to be won by Biden. He needs to work with Sanders to find a way to end the process and allow any wounds caused during the primaries to heal, so that the former vice president can move to pick his own vice-presidential candidate and organize for the general election.
Figure: Top Trump Tweets
Just finished a very good conversation with President Xi of China. Discussed in great detail the CoronaVirus that is ravaging large parts of our Planet. China has been through much & has developed a strong understanding of the Virus. We are working closely together. Much respect!
— Donald J. Trump (@realDonaldTrump) March 27, 2020
Our great Oil & Gas industry is under under seige after having one of the best years in recorded history. It will get better than ever as soon as our Country starts up again. Vital that it does for our National Security!
— Donald J. Trump (@realDonaldTrump) March 26, 2020
