Research Brief: Stimulus – March 2021

American Rescue Plan Act signed into law. The latest round of stimulus, at $1.9 trillion, is the second largest package ever passed by Congress. The spending bill contains relief for individuals, states, and schools, as well as new financial resources for vaccine distribution. Additional funding is allocated to restaurants, which could support struggling establishments after a winter spike in cases forced many such businesses to shutter or sharply curtail occupancy. Passed along party lines, the bill may represent the last round of stimulus to combat the economic damage caused by the global health crisis. The Biden administration has signaled a welcoming stance to further spending, though a rapidly falling case count could end the need. Inflation concerns may also prompt greater pushback from budget hawks.

Download