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The coronavirus crisis is crashing the U.S. economy at the fastest rate since the Great Depression, the government reported Wednesday, while the Federal Reserve pledged to keep interest rates near zero as long as it takes to bolster a recovery. President Trump said the need for people to go back to work is so urgent that he wants to see a return soon to full-capacity restaurants, sports stadiums —and campaign rallies — with or without a vaccine. “We want it to be the way it was,” Mr. Trump said during a meeting with business leaders at the White House. “We...

The U.S. economy is expected to shrink at an annual rate of almost 40% in the second quarter, and the budget deficit will explode, the nonpartisan Congressional Budget Office said Friday. [snip] The CBO chief said the budget deficit would hit a nominal record of $3.7 trillion, well above the $1.413 trillion seen in 2009. The impact of the sharp drop in output on the government’s bottom line would be sharp. In addition to the $3.7 trillion 2020 deficit, the CBO said government debt held by investors and other members of the public would reach 101% of the size of...

Speaking regarding the Coronavirus crisis, Governor Newsom of California stated: "We see this as an opportunity to reshape the way we do business and how we govern." The Governor of California best first find himself an expert in miniaturization. California’s self-vaunted fiscal health has been a public charade for years and now with the Coronavirus will be fully exposed as nothing less than a Zombie nightmare. The size and scope of California’s governmental expenditures is not sustainable. The governor best concern himself with the State of California’s wallet before trying to concern himself with reshaping how we govern. U.S. News...

President Trump on Tuesday encouraged Congress to pass a $2 trillion infrastructure bill as the next piece of legislation to boost the economy amid the coronavirus pandemic. "With interest rates for the United States being at ZERO, this is the time to do our decades long awaited Infrastructure Bill," Trump tweeted. "It should be VERY BIG & BOLD, Two Trillion Dollars, and be focused solely on jobs and rebuilding the once great infrastructure of our Country!" Trump last week signed into law a $2 trillion economic relief package targeting small businesses and workers impacted by the fallout of the virus....

NEW YORK - Republicans who have spent the past decade howling about the danger of ballooning deficits embraced the coronavirus rescue package approved by Congress and signed by President Donald Trump, shrugging off past concerns about spending in the face of a public health crisis. In many cases, the conservatives who backed the $2 trillion bill - the largest economic relief measure in U.S. history - were the very same who raged against the nearly $800 billion economic stimulus package backed by the Obama administration. But facing the unprecedented threat of a global pandemic - and working under a Republican...

The CARES Act, the $2 trillion coronavirus emergency relief bill that serves as Phase Three of Congress's coronavirus relief efforts, has passed the House of Representatives. It is the largest stimulus package in U.S. history and aims to provide funding for hospitals, and targeted relief for small businesses. The successful vote comes after hours of cantankerous debate, in which one unhinged Democratic representative was ruled " out of order " on the House floor. Once the measure finally passed, the entire House erupted - in a positive way. Lisa Desjardins ✔@LisaDNews WOW and just like that, the motion is adopted....

The COVID-19 pandemic can be used to illustrate two problems that are both more destructive than the virus. The problems relate to how Americans view the role of government in their lives and to the belief that government money can always fix problems. Let's look at the money issue first. The immediate reaction of our government to the virus threat was to spend massive amounts of money. The latest news is that politicians plan to "boost" the economy with nearly two trillion dollars in spending and loans. "The package is coming in at about 10% of GDP. It's very large,"...

Okay, I’ve been trying to do some research as to when “The Dafficit” (Hat tip to Daffy Jim Sasser) became a thing. About the only people nuttier than gold bugs and audit the fed crack pots. Country will never be broke, it can do something you or I CAN’T do. So when did this political-financial flim-flam get started and who did so?

Larry Kudlow, the director of the National Economic Council, said on Saturday that negotiators are doubling the size of a forthcoming coronavirus stimulus package as they try clinch an agreement. Kudlow said the size of the package would be approximately 10 percent of the county's gross domestic product (GDP), calling it a "very large package." When a reporter noted that 10 percent would be more than $2 trillion, he added: "That's correct." The decision is a significant uptick from the $1 trillion request initially submitted by the administration. Lawmakers are under significant pressure to quickly pass massive legislation to try...

There will be massive bailouts. I hope FR realizes this. Most Americans are in debt anyway, fiscal conservatives are declining. This virus will damage this economy and the nation. My governor Phil Murphy wants a NJ Transit aid package. It's over.

vote Trump

Senate Majority Leader Mitch McConnell is proposing direct payments of $1,200 per person and $2,400 for couples amid the coronavirus outbreak, according to a copy of the legislation obtained by The Associated Press. The GOP leader was poised to unveil the sweeping response Thursday as Congress raced to draft a $1 trillion measure to shore up for households and the U.S. economy. Among key elements would be the direct payments to Americans, aligned with the Trump administration's push for quick cash aid. Under McConnell's proposal, the minimum payments would be $600, and aid would be phased down at income thresholds...

“We should never forget fiscal responsibility, even in a crisis. My amendment seeks to offset the new spending by making numerous cuts in less important areas.” WASHINGTON, D.C. – Today on the U.S. Senate floor, U.S. Senator and physician Rand Paul (R-KY) spoke on his amendment to the U.S. House-passed coronavirus response bill to offset the new funding, prioritizing spending in this emergency rather than funding endless wars or paying for frivolous programs overseas. In his speech, Dr. Paul noted that “next time, maybe in the not-too-distant future, our children may not even be able to borrow their way out...

McConnell indicated job status would not be a factor, and that the money would go to unemployed workers and those recently laid off; those still working; and retirees, even if they're already receiving Social Security checks. While officials have indicated the ultra-rich would not be eligible, McConnell said Thursday the checks would still go to everybody "from the middle class on down. Period." How the middle class is defined can be a contentious subject when stimulus checks are on the line. One source told Fox Business Network that the amount would start to reduce for those making $75,000 and above...

Key Points Treasury Secretary Steven Mnuchin on Thursday laid out details of the Trump administration’s plan to send Americans relief money. The White House is talking to congressional leaders of both parties about a massive stimulus package to blunt the impact of the coronavirus crisis. The proposal includes sending payments directly to Americans totaling $500 billion, broken up into two tranches. “The first one would be $1,000 per person, $500 per child,” Mnuchin said. “So for a family of four, that’s a $3,000 payment. ============================================================================= Treasury Secretary Steven Mnuchin on Thursday laid out details of the Trump administration’s plan to...

Please use the sharing tools found via the share button at the top or side of articles. Copying articles to share with others is a breach of FT.com T&Cs and Copyright Policy. Email licensing@ft.com to buy additional rights. Subscribers may share up to 10 or 20 articles per month using the gift article service. More information can be found at https://www.ft.com/tour. https://www.ft.com/content/422f727c-6931-11ea-800d-da70cff6e4d3 As the number of coronavirus cases has exploded across the US, the idea of a direct cash transfer to Americans has emerged as the primary feature of the Trump administration’s $1.3tn response to the crisis. The idea of...

WASHINGTON — Republicans are divided on President Trump’s push to send large checks to all Americans as soon as April 6 to keep the coronavirus from crushing the economy — putting the universal payday in doubt. “I think it makes sense later, not now,” Sen. Lindsey Graham (R-SC) told reporters after a meeting of Senate Republicans on Wednesday afternoon. GOP leaders have three groups of senators crafting a $1 trillion stimulus package that could pass as early as this weekend. But with Republicans holding just 53 seats, even a small number of defections could block the idea of direct checks.

Casinos have joined the airline industry in asking Congress for emergency financial help as Las Vegas and other tourist destinations take a severe financial hit from the coronavirus outbreak. The requested aid for the casino companies, raised by lobbyists in recent days, could come in the form of a comprehensive bailout package, similar to what lawmakers may provide to airlines, cruise companies and the hospitality industry. Other possibilities include direct cash payments, deferred taxes, or special bankruptcy protections, said two people with knowledge of the conversations, who were not authorized to speak publicly. One person said that on a strategy...

New York’s Metropolitan Transportation Authority has asked for a federal bailout of $4 billion because of the growing cost of the novel coronavirus. MTA Chairman Patrick Foye, in a letter to New York’s congressional delegation Tuesday, said the authority estimates that it will lose $3.7 billion in fare revenues as ridership has plummeted since the start of outbreak early this month and is expected to stay at a low level for six months.

Senate Majority Leader Mitch McConnell said the Senate would move at "warp speed" to pass coronavirus legislation on Tuesday, but Sen. Rand Paul, R-Ky., put a damper on those plans, two leadership sources told NBC News. Senators were on Tuesday heading towards a vote on the package — which includes provisions for free coronavirus testing, secures paid emergency leave, enhances unemployment insurance, strengthens food security initiatives, and increases federal Medicaid funding to states — but had to slam the brakes on because of an amendment Paul proposed. The sources said Paul is forcing a vote on his amendment, which would...