Joe Biden sets out US$2 trillion plan to boost US economy and challenge China
- The proposal aims to put millions of Americans to work building infrastructure, as well as to tackle climate change and boosting human services like elder care
- The plan, which increases corporate taxes and closes tax loopholes, was greeted icily by conservatives and major business groups.
US President Joe Biden on Wednesday called for a sweeping use of government power to reshape the world’s largest economy and counter China’s rise in a US$2 trillion-plus proposal that has been met with swift political resistance.
Biden’s proposal would put corporate America on the hook for the tab for projects putting millions of Americans to work building infrastructure such as roads as well as tackling climate change and boosting human services like elder care.
“It’s a once-in-a-generation investment in America, unlike anything we’ve seen or done,” Biden said in Pittsburgh. “It’s big, yes. It’s bold, yes. And we can get it done.”
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Biden says China won't become ‘the most powerful country’ on his watch
Biden’s second multi-trillion dollar legislative proposal in two months in office aimed to provide support to an economy walloped by the coronavirus pandemic. It also promised to shore up labour unions and the country’s resilience to climate change, both long-sought liberal goals.
Another economic proposal Biden will release in April could add another US$2 trillion to the total price tag.
Coupled with his recently enacted US$1.9 trillion coronavirus relief package, Biden’s infrastructure initiative would give the federal government a bigger role in the US economy than it has had in generations, accounting for 20 per cent or more of annual output.
A government-directed effort to strengthen the economy is the best way to contend with increased competition and a national security threat posed by China, Biden’s team believes.