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 cam...

Unlock this article with a FREE 30-Day Trial!

An FSI Pro, or FSI Macro subscription is required in order to access this content.

*Free trial available only on a monthly plan

Disclosures (show)

Get invaluable analysis of the market and stocks. Cancel at any time. Start Free Trial

Articles Read 2/2

🎁 Unlock 1 extra article by joining our Community!

You’ve reached your limit of 2 free monthly articles. Please enter your email to unlock 1 more articles.

Already have an account? Sign In

Want to receive Regular Market Updates to your Inbox?

I am your default error :)