Joe Biden kicks off efforts to reshape U.S economy with $2 trillion infrastructure package
On Wednesday President Joe Biden will call for a dramatic and more permanent shift in the direction of the U.S economy with a roughly $2 trillion package to invest in traditional projects like roads and bridges alongside tackling climate change and bossting human service like elder care.
Once Biden rolls out the second part of his economic plan in April he will put corporate America on the hook for the tab, which is expected to grow to a combined $4 trillion. Coupled with his recent coronavirus relief package, Biden’s infrastructure initiative would give the federal government a bigger role in the U.S. economy than it has had in generation, according for 20% or more of annual output.
On Wednesday the effort, will be announced at an event in Pittsburgh, sets the stage for thenext partisan clash in Congress where members largely agree that capital investments are needed but are divided on the traditionally seen as social services. Just how to pay for them will be a fractious issue in its own right.
Biden for now is ignoring a campaign promise and sparing wealthy Americans from any tax increases. The plan would increase the corporate tax rate to 28% from 21% and change the tax code to close loopholes that allow companies to move profits overseas, according to a senoir administration official.
The plan also includes $621 billion to rebuild the nation’s infrastructure, such as roads, bridges, highways and ports, including a historic $174 billion investment in the electric vehicle market that sets a goals of a nationwide charging network by 2030.
Congress will also be asked to put $400 billion towards expanding access to affordable home or community- based care for aging Americans and people with disabilities.
There is $213 billion provided to build and retrofit affordable and sustainable homes along with hundred of billions to support U.S manufacturing, bolster the nation’s electric grid, enact nationwide high- speed broadband and revamp the nation’s water system to ensure clean drinking water
