in the Fight Against COVID

The House of Representatives passed an additional Similarly, if Congress is going to extend additional $3.4 trillion stimulus bill in May and another $1.5 trillion aid to businesses, lawmakers should do it through infrastructure bill at the end of June. If passed into law, existing programs, targeting the aid to those businesses these “stimulus” bills would have the lasting legacy of hit hardest by closure orders and simplifying program larger debts, higher taxes, and rules for those who do need the slower economic recovery. help.

The trade-off of government Past attempts at Federal spending, even if spending is, at its core, a choice between private activity and economic stimulus show well designed, will never be an adequate substitute for privategovernment activity. In the that governments can’t sector commerce. Temporary, depths of the governmentspend their way into targeted programs that provide imposed shutdowns, federal programs largely shifted economic recovery. timely aid to those in need helped soften the most painful private payrolls to government. consequences of the coronavirus Continuing or expanding these shutdown. programs as part of the economic reopening will not Recent employment rebounds show the possibility create additional growth, but depress it instead. of a quicker recovery amid loosening economic

If Congress determines more aid for individuals is restrictions and the willingness of Americans to return necessary, it should be targeted to those who need it to work, restaurants, and stores. Safely returning to most. Some 142 million Americans are fortunate enough commercial and community life is the surest way to to have jobs still. A temporary partial federal match to ensure a healthy recovery. RF unemployment benefits after the $600 bonus benefits expire on July 31st would be much better targeted than Adam N. Michel is a senior policy analyst in The sending checks to every American or cutting payroll Heritage Foundation’s Roe Institute of Economic taxes for individuals who still have jobs. Policy Studies.