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U.S. agreed another fiscal stimulus to support economy

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Wall Street bounced on Tuesday from falling to its three-year lows, on the basis that the agreement between the Democrats and the Republicans was coming soon. The market during this business recorded a huge growth headed by the Dow Jones index, which 11.37% growth, recorded the highest intraday growth in the past 84 years.

The $ 2 trillion will work together with $ 4 trillion in the strengthened credit strength of the Federal Reserve System. Together with Fed intervention, the $ 6 trillion incentive represents approximately 30% of the annual US GDP.

The stimulus package will support economies, states and local governments in combating disease outbreaks, SME loans by expanding unemployment aid and hospitals and health systems.

But the most interesting thing is the support in the form of a direct payment of up to $ 3,000 to millions of American families. For individuals, this package provides direct payments to low- and middle-income Americans of $ 1,200 for each adult and $ 500 for each child. Unemployment insurance would be extended to four months, benefits would be increased by $ 600 per week, and eligibility would be extended to other workers.

Is this move of Fed ,,helicopter money” to stimulus the inevitable recession?

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