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“When I see a coalition of Josh Hawley, Bernie Sanders and Donald Trump supporting an idea, I think it’s time to run for cover.”
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It is Larry Summers, the former Treasury secretary who allegedly advised President-elect Joe Biden, explaining to Bloomberg News why he believes $ 2,000 stimulus checks would be a “very serious mistake” that could overheat the US economy. “When you see the two extremes agreeing, you can almost be sure that something crazy is in the air,” added Summers.
As it stands now, the stimulus is in limbo after President Trump surprised Republicans, including close allies, by opposing compromise relief legislation at the last minute. Biden urged Trump to sign the bill, saying in a statement that “abdicating the president’s responsibility has devastating consequences”.
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Trump, judging by his tweets, doesn’t seem on the verge of a crisis.
House Democrats last week tried to increase the size of aid payments from $ 600 to $ 2,000, but were blocked by Republicans, who separated from Trump in the package. House Speaker Nancy Pelosi said she would take another vote on Monday.
Summers told Bloomberg that it would be better to have stimulus than not, but that promoting consumer spending on money is not the answer. He said “he is not sure if I am so excited about the $ 600 checks”. See the full interview: