U.S. House Speaker Nancy Pelosi said Friday (March 12) that she has given instructions to key Democratic lawmakers to work with Republican lawmakers to implement a major infrastructure plan.
Pelosi said in a statement that Congress must do all it can to quickly complete a bold major infrastructure development plan that addresses needs in transportation, energy, broadband, Education, housing, water and other areas; Pelosi’s aides explained that the plan is a top priority for Democrats right now.
The Biden administration has said that after passing the bailout, the next step would be to push Congress to approve trillions of dollars in infrastructure projects as part of the stimulus package.
However, a number of U.S. political commentators wonder where the money will come from to drive major infrastructure investments.
It is true that the U.S. can continue to issue debt to raise funds, but after the current round of $1.9 trillion bailout plan, the U.S. government’s debt ratio is already close to 140%, and the U.S. Treasury yields have climbed sharply in recent weeks, with the 10-year debt rate rising to 1.642% on Friday, a one-year high. It is difficult to pay the rolling interest bill.
In addition, after Biden came to power, he reignited the powder keg in the Middle East and banned the development of shale oil on U.S. soil, leading to a rapid rise in oil prices; Biden is also prepared to continue to promote globalization (i.e., the U.S. continues to expand imports), the U.S. trade deficit will continue to expand, the fiscal deficit worsens, and the government debt rate will enter a spiral that will seriously worsen U.S. Inflation, coupled with the fact that the credit level of the U.S. dollar is already far below After the subprime crisis, these measures will stimulate the level of inflation in the United States itself and globally.
Market participants believe that as global central banks have joined forces to create the most perfect asset bubble in history following the subprime crisis, there must be a perfect storm and avalanche ahead.
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