Biden plans to split spending plan in half

President Biden plans to split his next big government spending surge into two programs and will set out his vision for an infrastructure-focused first proposal, including green energy programs, at an event in Pittsburgh this week, a said a senior administration official on Sunday. .

The second proposal, which the administration plans to release in April, would focus more on child care and health care programs, among other priorities for the administration, the White House press secretary said, Jen Psaki, on “Fox News Sunday”.

At one point, the administration is considering proposing tax increases on high-income households and businesses to help pay for the programs, although it has yet to define its tax strategy or how it is doing. will be incorporated into the next two proposals. Ms Psaki also left open the possibility that both elements of the president’s spending plans could be continued in a single legislative package.

Mr Biden, asked on Sunday whether his two proposals would go through Congress as a bill or more, told reporters he had decided on a legislative strategy for his next economic package, but declined to comment more.

Democrats say the spending programs will help make the economy more productive, boost growth and boost household incomes. Republicans are wary of unnecessary spending and reject efforts to raise taxes. Some economists warn that the government risks taking on too much debt, over-stimulating the economy and causing inflation. However, interest rates and inflation are low, which has left administration officials believing they have leeway to invest in growth for the long term.