The Growing Ineffectiveness of US Federal Stimulus Programs

The effectiveness of the anticrisis programs US federal government to bring American economy out 2020 crisis is analyzed. It noted that was unprecedented in its scale and causes occurrence, which practically did not occur economic history period after end World War II. unusual nature found expression policy introducing lockdowns as main tool fight against coronavirus pandemic, led drops reduction increase real GDP over course six months. From very beginning implementation fiscal programs, they were characterized by inefficiency spending budget funds, due several reasons. one political, expressing fact fell on year Presidential elections. Republican administration D. Trump, who power, virtualy wasted funds «from helicopter» for speedy overcoming crisis, volume significantly exceeded magnitude fall GDP. As a result, most went support incomes and, accordingly, consumer demand families, individuals, small medium-sized businesses received “free” require reciprocal labor efforts part payments benefits’ recipients. In economy, syndrome cash pumping has formed, 2021 naturally an “inflationary overheating” economy. Gradually, 2022, inflation, measured price index, actually got control, Federal Reserve System (FRS) decision switch raising fund rate will certainly complicate exit trajectory sustainable growth. Democratic J. Biden, took office January 2021, put forward ambitious program overcome called "Build Back Better." Initially, total cost estimated at $7.8 trln, however, began acquire legislative status, started decrease sharply precisely because negative elements program, are reflected huge growth deficits gross debt pyramid, clearly outweigh costs associated with accelerating increasing employment. Congress refused accept those components Build Better aimed sharp expansion block social mainly field health education, well combating climate change preserving environmental quality. A publication fairly stable stereotype public rejection formed society causing more harm than providing tangible socio-economic benefits.