Thursday, June 4, 2020

Stimulus in the Making

Germans will wake up this morning to find that the Coronavirus stimulus package is mostly done.  Focus had a great update on this.

The amount in the discussion?  130 billion Euro (roughly 145-odd billion dollars).

The kid-bonus is in the deal (300 Euro per kid)....payable to the parent.  Kids will be asking mom what their 'cut' of the money will be.

A fair sum is being set up for development of hydrogen technology, which may worry the E-car folks a little.

Twenty-five billion is going toward cultural items and industry.

The chief question to ask?  Will this go and stimulate the economy....putting unemployed back to work and getting people off 'short-work'?  It's an unknown. Virtually all economists agree....recession is here, and will be sticking around through most of 2021.  The travel industry and airlines?  Screwed, in the royal sense.  The car industry?  It's damaged enough that people will be let go at some point in 2020.

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