Fed Policy Makers, Like Lawmakers, Split On Need For More Fiscal Aid

  • As the White House and Congressional Democrats press for a $1.9 trillion pandemic relief package that many Republicans say is more than what the country needs or can afford, Federal Reserve policymakers are also split on the issue.
  • Dallas Fed President forecasts that as vaccines get rolled out and more businesses can reopen, the U.S. economy will likely grow about 5% this year, enough to push unemployment down to 4.5%, from 6.7% in December.
  • That forecast, he said, assumes no further fiscal relief, except what may be needed to ensure there's enough money to vaccinate people and reopen schools, and for the unemployed to make ends meet - an amount he didn't quantify.

(Source: Reuters)