U.S. could pump $800 billion or more into economy - Trump adviser Kudlow

WASHINGTON (Reuters) - The United States could pump $800 billion or more into the economy to minimize damage from the coronavirus outbreak if Congress passes a payroll tax holiday through year end, White House economic adviser Larry Kudlow said on Monday. 'We have an enormous fiscal plan. It's at least $800 billion and maybe more,' Kudlow told reporters, totaling up actions already taken and tacking on Trump's hoped-for tax relief

Reuters March 17, 2020 02:05:17 IST
U.S. could pump $800 billion or more into economy - Trump adviser Kudlow

US could pump 800 billion or more into economy  Trump adviser Kudlow

WASHINGTON (Reuters) - The United States could pump $800 billion or more into the economy to minimize damage from the coronavirus outbreak if Congress passes a payroll tax holiday through year end, White House economic adviser Larry Kudlow said on Monday.

"We have an enormous fiscal plan. It's at least $800 billion and maybe more," Kudlow told reporters, totaling up actions already taken and tacking on Trump's hoped-for tax relief.

"We have roughly $400 billion in ... fiscal assistance" already in the pipeline, Kudlow, a top Trump adviser, said.

Asked in an interview with Fox Business Network if the United States economy was headed for a recession, Kudlow declined to answer but he acknowledged the pain the ongoing outbreak of COVID-19 was having across the country.

"We're going to be challenged. It's going to be tough," he said.

Wall Street took a nose dive earlier on Monday as S&P 500 companies lost more than $2 trillion in value in the first few minutes of trading and trading on the three main U.S. stock indexes was halted for 15 minutes as investors panicked about the virus' impact.

(Reporting by Lisa Lambert and Tim Ahmann; writing by Susan Heavey; Editing by Chizu Nomiyama and David Gregorio)

This story has not been edited by Firstpost staff and is generated by auto-feed.

Updated Date:

TAGS:

also read

France, Germany to agree to NATO role against Islamic State - sources
| Reuters
World

France, Germany to agree to NATO role against Islamic State - sources | Reuters

By Robin Emmott and John Irish | BRUSSELS/PARIS BRUSSELS/PARIS France and Germany will agree to a U.S. plan for NATO to take a bigger role in the fight against Islamic militants at a meeting with President Donald Trump on Thursday, but insist the move is purely symbolic, four senior European diplomats said.The decision to allow the North Atlantic Treaty Organization to join the coalition against Islamic State in Syria and Iraq follows weeks of pressure on the two allies, who are wary of NATO confronting Russia in Syria and of alienating Arab countries who see NATO as pushing a pro-Western agenda."NATO as an institution will join the coalition," said one senior diplomat involved in the discussions. "The question is whether this just a symbolic gesture to the United States

China's Xi says navy should become world class
| Reuters
World

China's Xi says navy should become world class | Reuters

BEIJING Chinese President Xi Jinping on Wednesday called for greater efforts to make the country's navy a world class one, strong in operations on, below and above the surface, as it steps up its ability to project power far from its shores.China's navy has taken an increasingly prominent role in recent months, with a rising star admiral taking command, its first aircraft carrier sailing around self-ruled Taiwan and a new aircraft carrier launched last month.With President Donald Trump promising a US shipbuilding spree and unnerving Beijing with his unpredictable approach on hot button issues including Taiwan and the South and East China Seas, China is pushing to narrow the gap with the U.S. Navy.Inspecting navy headquarters, Xi said the navy should "aim for the top ranks in the world", the Defence Ministry said in a statement about his visit."Building a strong and modern navy is an important mark of a top ranking global military," the ministry paraphrased Xi as saying.