‘It’s everything:’ Here’s how a pair of Senate races in Georgia in January could decide whether Congress enacts a $3.4 trillion stimulus plan


Warnock and Ossoff

Summary List Placement

President-elect Joe Biden is on course to assume office on January 20, but the balance of power in Washington is still unresolved with a pair of Senate runoffs in Georgia just two weeks before Biden’s inauguration. 

In one race, Democrat Jon Ossoff is challenging Republican Sen. David Perdue, while Republican Sen. Kelly Loeffler is facing off against Democrat Raphael Warnock in the second runoff. The results will determine which party controls the Senate in an extraordinary period of public health and economic challenges  — and how many federal dollars are pumped into the economy early next year. 

The scope of another economic aid package in on the ballot as Georgians cast their votes on January 5. Democrats and most Republicans agree one is needed, but they have clashed for months over its size and the level of federal support necessary to support an economic recovery many economists say is weakening. Unemployment claims ticked up last week for the first time since early October.

Neither side has budged since Biden defeated President Donald Trump in the election on November 3 and the gulf between the two parties may only be widening in the lame-duck session. The president-elect this week praised the expansive Heroes Act which the House passed in May, even as Republicans have rejected it for months as a progressive wishlist.

Now Democrats are pinning their hopes on winning both races in the state and gain a threadbare majority, leaving Vice President-elect Kamala Harris to cast tie-breaking votes. Under that scenario, Democrats could use a legislative maneuver to pass pandemic-relief and other tax and spending measures with a simple majority and no GOP votes. 

  Bank of America says these 2 areas in technology are still undervalued and have room to run in 2021

“It’s everything on stimulus,” Heidi Schierholz, policy director of the left-leaning Economic Policy Institute, told Business Insider. “It’s everything because if there is a Democratic-controlled Senate, they will be able to get a sizable package through reconciliation.”

She continued: “Without that, it will come down to Senate Republicans on what a relief package, if any, looks like. They’ve given plenty of signals where they are on that.”

Read more: ‘The unwinding of this bubble is going to be painful’: A renowned stock bear says today’s investors can expect negative returns for the next 12 years — and warns of a looming 66% stock plunge

The GOP supports a much smaller relief plan than the $3.4 trillion package that Democrats and Biden are seeking. Republicans continue to push …read more

Source:: Business Insider

(Visited 2 times, 1 visits today)

Leave a Reply

Your email address will not be published. Required fields are marked *