In March, US Congress approved President Biden’s Rescue Plan. Beyond its exceptional size (although in truth it is less massive than it appears), this rescue plan marks a radical change of perspective in US economic policy: first, because of the expected consequences on future macroeconomic policies (the so-called policy mix); second, and most importantly, because it shows Biden’s path to address the disequilibria within American society.
In the context of rising competition between China and the United States, Washington has introduced a massive infrastructure plan: the American Jobs Plan. As the 100-day milestone approaches for the Biden administration, the goal is to update and strengthen American infrastructure, create new jobs, boost growth, and enhance overall competitiveness.
President Biden’s recently announced American Jobs Plan is potentially transformative to the federal government’s role in rebuilding the economy, combating climate change, and reasserting leadership on the world stage. Not surprisingly, much of the attention has been centered on the package’s direct economic costs and impacts – but at the same time, the nearly $2 trillion package, if enacted, would amount to the single most significant climate-related policy intervention in U.S. history.
President Biden unveiled a new $2 trillion American Jobs Plan on Wednesday, March 31, focused on infrastructure, the care economy, the climate and, as the name implies, creating desperately needed, good jobs. Previous U.S.
A semiconductor is a material placed between a conductor and an insulator on which integrated circuits — composed of transistors — are installed, enabling an electronic device's operation and memory capacity. The related economic sector is worth $440 billion in annual turnover and is growing steadily (+7.7% expected in 2021).
In the words of Joe Biden, America is back. And multilateralism is the name of the game. On March 31 Biden announced his American Jobs Plan, a $2 trillion infrastructure investment plan that aims to revitalize America’s manufacturing, R&D activity, job development and more. Nestled in that plan is the Biden administration’s tax playbook for the U.S. — the Made in America Tax Plan.
In Japan, both the population and the birthrate are declining while the population is aging. In the manufacturing industry that supports the Japanese economy skilled workers are also aging and in short supply. For this reason, manufacturing companies are increasing their productivity by implementing digital technology in order to make up for this shortage of skilled workers.
In February 2021, President Xi announced that China had won the war against extreme poverty, lifting 100 million Chinese people out of poverty. Since gaining power in 2012-13, Xi had included anti-poverty objectives among China’s three “tough battles,” alongside risk prevention and pollution control.
The developmental state has been a central feature of the East Asian economic miracle, which has made possible the region’s rapid growth towards prosperity while lifting millions of people across Asia out of poverty.
The economic harm being caused by the novel coronavirus may soon result in multiple sovereign debtors moving into default territory. But the existing playbook for dealing with multi-sovereign emerging market debt crises is blank.
COVID-19 has further exacerbated the debt situation in sub-Saharan Africa (SSA). Prior to the pandemic about half of low-income countries (LICs) were at high risk of debt distress or in debt distress, including a large number of LICs in SSA. A shift in the composition of debt from concessional to non-concessional financing needed to finance infrastructure and human capital development contributed to higher debt levels.
Of the six government defaults recorded in the world in 2020, four were in Latin America and the Caribbean (LAC). Not just that: in 2020 four other countries in the region benefitted from the debt service suspension initiative (DSSI) set up by the G20. Indeed, according to the latest World Economic Outlook (IMF, April 6, 2021), in 2020 general government gross debt in the area as a whole rose by about 9 percentage points of GDP, giving Latin America and the Caribbean the unenviable record of most indebted region in the developing world.
