Although Mark Zandi, chief economist of Moody’s Analytics in West Chester, thinks there’s a lot to like in the stimulus bill, he also believes there are more things that should have been included, writes Tom McGrath for Philadelphia magazine.
“Stimulus is not only about dollars and cents, which obviously is very important,” said Zandi. “But it’s also about establishing confidence — making people feel like the government has their back.”
The government could have said, “Here are some checks, and more will be coming if we’re still not working a month from now.”
Zandi also believes the bill could have been more generous with unemployment insurance benefits. It increased the UI benefit but limited it to four months.
“Again, make it open-ended so people aren’t panicked,” he said.
Zandi, who previously wrote an article warning that the coronavirus pandemic will lead to a global recession, believes the U.S. economy was especially ill-prepared for the crisis.
“Our economy came into this limping because of that trade war,” he said. “The Fed had to cut interest rates three times last year. That’s not consistent with a strong economy.”
Read more about Mark Zandi in Philadelphia magazine here.