US Economy: 4 Ways Joe Biden Plans To Solve This Problem



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Here are some of the policies he plans to put in place to get Americans back to work, increase jobs, increase racial fairness, and raise taxes, all with the goal of reopening the economy.

Biden’s plan for day one, as detailed on his campaign website, is aimed at bringing the Covid-19 crisis under control. He calls for doubling the number of drive-thru test sites across the country, investing in home testing and hiring at least 100,000 Americans to do contact tracing. He also wants to invest $ 25 billion in the manufacture and distribution of vaccines, with the goal of providing a vaccine for free to all Americans.

The plan also involves providing funds to state and local governments so that they can avoid budget shortfalls, and ask Congress to help schools with Covid-19 resources and cover some of the costs related to Covid-19 for small businesses.

Inequality

Biden said he would not raise taxes for people earning less than $ 400,000 a year. But he plans to increase his income as follows:
  • Raise the top tax rate to 39.6%, where it was under President Barack Obama’s administration, from the current 37%
  • Raise the corporate tax rate from 21% to 28%
  • Require U.S. businesses to pay a minimum 21% foreign income tax
  • Institute a tax penalty on companies that move jobs overseas but continue to resell products in America
  • Require a 15% tax on accounting income for businesses
  • Anyone who earns more than $ 1 million a year would be taxed at the same rate on their investment income as their salary.

Biden also said he wanted to expand the child tax credit to help working families during the pandemic give parents $ 3,000 per year for each child aged 6 to 17 and $ 3,600 per child under. 6 years. It plans to expand access to reimbursable services. health premium tax credits, up to $ 8,000 per year in tax credits to help pay for child care costs.

A study by the Wharton School at the University of Pennsylvania predicts that Biden’s tax plan would increase income by $ 2.3 to $ 2.6 trillion over the next 10 years with little impact on GDP.

Works

Biden plans to create “at least 5 million” new manufacturing jobs. He wants to invest $ 400 billion in investments in procurement – processes such as supply chains – which drive demand for U.S. products and services and $ 300 billion in research and development in technologies, including artificial intelligence and 5G.

The federal minimum wage, which is currently $ 7.25, would be raised to at least $ 15 an hour.

As part of his employment plan, Biden also wants to invest $ 70 billion in historically black colleges and universities and tribal schools, a move that includes a host of initiatives, including scholarships and new facilities.

As for clean energy, his administration would buy billions of dollars in clean vehicles and products and demand countries that are not eco-friendly. pay a carbon adjustment tax.

Another priority of Biden’s plans is the promotion of racial equity. He said he would fund national and local investment initiatives for black and brown entrepreneurs, as well as $ 100 billion low-interest business loans to black and brown communities through loan programs. state and local.

Student loans

Biden is calling for the immediate cancellation of $ 10,000 of each student’s federal student loan debt as part of the pandemic response. An additional $ 10,000 student loan debt will be forgiven for each year of community service performed by individuals up to five years, as part of Biden’s plan. He also wants to double the maximum amount of Pell scholarships and increase the number of students who can access financial aid, while cutting federal student loan repayments in half.

According to Biden, those who attended colleges or institutions serving historically black minorities and earn up to $ 125,000 should have their debt canceled, Biden said, and schools would be free for students with lower family incomes. to $ 125,000.

Additional proposals

Biden also plans adopt Elizabeth Warren’s bankruptcy reform proposal, which would streamline the bankruptcy process and allow people to file for bankruptcy to set aside funds for child care and items like toys and books.
It also wants to expand workers’ protection rights and make it easier for workers to join unions without employers forcing them to attend compulsory meetings or hampering negotiations.

Biden seeks to eliminate private dollars from federal elections through a constitutional amendment, according to his website, which would require candidates to depend solely on public funds for their campaigns. He also calls for a law that would prevent foreign nationals from influencing U.S. elections and create more transparency over election spending, so that an ad on Facebook be required to disclose its donors.

On the infrastructure front, Biden will come up with a 10-year, $ 1.3 trillion plan to make The more globally competitive American middle class workers are pushing the United States to embrace cleaner energy processes and grow the economy.

As to how these revisions will be paid, Biden said rescinding Trump’s tax cuts would offset some of the costs of the plan.

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