Thursday 19th November 2020
The USA’s first corona aid package expired four months ago. Since then, Republicans and Democrats have been arguing about a new edition. The head of the major bank JP Morgan burst his collar, he addressed clear words to Washington: Congress had “let the American people down”.
JP Morgan boss Jamie Dimon interfered with clear words in the US debate about further corona aid. In an interview with CNBC, he accused Republicans and Democrats of causing a month-long stalemate in the US Congress out of power calculations and electoral tactics, instead of helping unemployed Americans and distressed companies in the pandemic.
That the US Congress is arguing about whether the new economic stimulus package should now weigh 2.2 trillion or 1.5 trillion US dollars is “childish behavior” on the part of politicians, the longest-serving major bank boss in the US complained at the deal book conference the “New York Times” in New York. He feels “fooled”. The whole thing was a “joke”, “split the amount and keep going,” he replied to a question from the moderator.
That is exactly what has not happened so far. The political fronts have hardened, the second economic stimulus package is on hold. Most of the measures in the first Corona aid package expired in July. At the beginning of the Corona crisis, Congress passed increased unemployment benefits and a one-time payment of $ 1200 for US citizens as well as hundreds of billions of dollars in aid for companies to cushion the country’s social and economic crisis. Since then, Republicans and Democrats have struggled in vain for a new version of the aid. “Congress has failed the American people,” Dimon grumbled. He was “deep, deep, deeply frustrated”.
A study by Columbia University recently documented the full extent of the misery caused by Corona: According to this, eight million people have fallen below the poverty line since May. These include families who have had electricity or gas cut off, people who are threatened with eviction or who can no longer afford their medication. And the end of the misery is not in sight. The number of Covid 19 cases in the USA is at a record level. But the political decision-makers are taking their time. Politicians have not met since the presidential election on November 3rd.
The “bottom 20 percent” of the working population hit the crisis hardest, Dimon said in an interview. In view of the growing need, America’s longest-serving major bank chief appealed to lawmakers to act urgently and to use fiscal incentives to bridge the period until mid-2021 until vaccines are available. “There is a large part of our country that is really struggling … that’s what we should focus on,” said Dimon. Without economic incentives, the likelihood of an economic recovery decreases. “It has nothing to do with Democrats and Republicans.”