US crisis package: program details
In order to support the U.S. economy, the government adopted an anti-crisis package, which includes various activities. The document will be touched not only by the United States, experts say that the introduction of new rules may create a positive trend for the Russian market.
The Chinese economy is already gradually recovering. If the crisis does not cause serious losses to the American economy, China will start expanding its markets, producing and supplying products to the States. This will contribute to the demand for hydrocarbons, which is beneficial for Russia. The cost of resources will increase, and the Russian economy will gradually start to emerge from the recession. The price of oil within $35 per barrel already allows us to talk about positive developments.
The White House has allocated a large amount of money to stabilize the economy. The amount of funding is impressive, the last time such funds were raised during the Korean War. Unemployment in the U.S. is rising at a serious rate. In April, the number of people who lost their earnings was 3 million. Experts predict that in a few months the unemployment rate may be 13% in the worst case scenario – 20%. Therefore, the government has introduced comprehensive measures, which will make it possible to reduce the impact of the crisis on the economy.
In March, Donald Trump signed a law, through which $2 trillion was allocated to support the economy. Of this amount, $350 billion has been allocated as financial aid to small businesses and for tax holidays. $250 billion is designed to expand insurance programs and other areas.
In order to improve the financial situation of the population, each family is allocated $1,200, and if there are children – an additional 500 dollars is provided. These measures will support citizens whose income is less than 75 thousand dollars a year. Most of the money has been allocated for health systems, the funds have been used to purchase medicines and medical equipment.
The coronavirus epidemic has caused a serious loss to the United States. The number of the diseased exceeded the mark of 120 thousand people, it is more than it was fixed in China and Italy. The difficulty in treating the virus is that it is constantly mutating, and this makes it difficult to work on the vaccine.
It is worth noting that Trump initially did not want to introduce a strict quarantine, adhering to the Swedish model of combating COVID-19, which is based on the development of collective immunity. However, this option did not work, and it was necessary to close public places, service establishments and much more. As a result of restrictive measures, entire segments of the economy are idle, and the country’s budget is losing huge amounts of money.