What is Joe Biden's $2 trillion 'American Jobs Plan'? POTUS set to invest in America and revitalize economy
It is 'exactly what our nation needs right now,' the internet says about Biden's massive plan to rebuild the economy leaves no stone unturned in a bid to 'out-compete China'
President Joe Biden unveiled his new and massive 'American Jobs Plan' on March 31, 2021. The plan would see the federal government spend $2 trillion over the next eight years to revitalize the economy, switch to more renewable sources and invest in violence-reduction programs, among other aspects of health and education. The massive plan will provide funding for almost all sectors of the economy, from railroads to manufacturing, and affordable housing to high-speed broadband.
The White House said that the plan will "unify and mobilize the country to meet the great challenges of our time: "The climate crisis and the ambitions of an autocratic China." The plan will be formally unveiled by the President during a speech at a carpenters training center in Pittsburgh. According to the press release by the White House, the American Jobs Plan "will invest in America in a way we have not invested since we built the interstate highways and won the Space Race."
While Biden's ambitious proposal could help revive the economy, it faces a stiff challenge from within the Senate. Republicans have already expressed their opposition to the plan, lead by Senate leader Mitch McConnell. Speaking to reporters in Kentucky, McConnell said, "It’s called infrastructure, but inside the Trojan horse it’s going to be more borrowed money and massive tax increases on all the productive parts of our economy.”
The White House estimates that the plan will be fully paid for within 15 years, assuming the "Made in America" tax plan becomes law. That plan would see corporate tax raised to 28% from the current 21%. Beyond that, it is unclear how else the government will pay for the massive proposals. If you are wondering what's in the proposal, we've got you covered. Here's a quick look at everything Biden wants to spend the money on.
$621 billion has been allocated to modernize 20,000 miles of highways, roads, and main streets. The money will also help fix the 10 most economically significant bridges, and repair 10,000 smaller bridges. A further $85 billion has been allotted for public transit and $80 billion to be put toward Amtrak for repairs and improving train corridors. $56 billion will be available in grants, loans, and aids to states, tribes, and territories to upgrade drinking, wastewater, and stormwater systems. $100 billion will be spent to upgrade high-speed broadband, including remote areas.
$213 billion will be used to build and retrofit over 2 million homes and commercial buildings. The plan also calls for 1 million affordable housing units to be built and retrofitted to the latest standards. A further 500,000 homes for low and middle-income buyers will also be built or rehabilitated.
#174 billion will be invested in electric vehicles, including a network of 500,000 EV chargers by 2030. The plan calls for the electrification of at least 20% of America's school bus fleet and shifting all federal vehicles to EVs. Consumers will also benefit from point-of-sale rebates and tax incentives to buy American-made electric vehicles. $100 billion will be invested in the nation's electrical grid, including expanding the production and investment tax credits to accelerate clean energy jobs and projects. By 2035, Biden wants the nation to be powered by 100% clean energy.
A further $16 billion will be used to plug old oil and gas fields and abandoned coal and uranium mines. Some of this money will also go towards funding environmental resiliency jobs, to help restore America's natural resources. The plan also features a campaign promise to create a 'Civilian Climate Corps'. $10 billion will be allocated for this, to help conserve public lands and waters.
Education and jobs
Biden wants $180 billion to be invested in upgrading the US' research infrastructure, R&D for clean energy solutions and to eliminate racial and gender equalities in sciences. That includes $15 billion in creating up to 200 centers of excellence that serve as research incubators. Significant funding will also be provided to Historically Black College and Universities, in a bid to eliminate racial inequalities in education and opportunities.
The plan will also see $300 billion invested in America's manufacturing and small businesses. That includes $50 billion in semiconductor manufacturing and research, $20 billion in regional innovation hubs, and $52 billion in domestic manufacturers.
The bill goes beyond the traditional definition of infrastructure to provide funds for a variety of other purposes. That includes $5 billion to support evidence-based community violence prevention programs and job training for formerly incarcerated individuals. Long-term care under Medicaid will also be expanded, giving more people the opportunity to receive care at home. "Exclusionary zoning" has also been banned, as well as harmful land-use policies.
Another unique point is investments to protect from future pandemics. Biden wants "$30 billion over 4 years to create U.S. jobs and prevent the severe job losses caused by pandemics through major new investments in medical countermeasures manufacturing."
'Biden's American Jobs Plan is what an ACTUAL 'America First' agenda looks like'
On social media, many users have praised Biden's proposals, signaling widespread support for the plan. One user tweeted, "No matter what spin Republicans put on it... President Biden's American Jobs Plan is what an ACTUAL 'America First' agenda looks like. Well done, Mr. President "
No matter what spin Republicans put on it...— Jake Lobin (@JakeLobin) March 31, 2021
President Biden's American Jobs Plan is what an ACTUAL 'America First' agenda looks like.
Well done, Mr. President 🇺🇸
Another said, "Overall I quite like the American Jobs Plan. It is a serious proposal that would help increase economic growth, ensure growth was more fair, and raise additional revenue in a broadly reasonable manner." One user commented, "Since Reagan, the GOP told us that tax breaks for the rich would trickle down. They lied. Biden's American Jobs Plan will create jobs, repair our crumbling infrastructure and reshape our economy. It's time for everyone to pay their fair share in taxes to support this bill".
Overall I quite like the American Jobs Plan. It is a serious proposal that would help increase economic growth, ensure growth was more fair, and raise additional revenue in a broadly reasonable manner.— Jason Furman (@jasonfurman) March 31, 2021
Much that I would love to add, a bit I would subtract. A thread.
Since Reagan, the GOP told us that tax breaks for the rich would trickle down. They lied.— Scott Huffman (@HuffmanForNC) March 31, 2021
Biden's American Jobs Plan will create jobs, repair our crumbling infrastructure and reshape our economy. It's time for everyone to pay their fair share in taxes to support this bill. #ncpol
San Francisco Mayor London Breed tweeted, "And just today, President Biden unveiled the American Jobs Plan, which will create millions of jobs, invest in our infrastructure, help us make real progress on the climate crisis, and reimagine and rebuild a new economy." Rep. Frank Pallone said, "President Biden’s American Jobs Plan is exactly what our nation needs right now to revitalize our communities. There is no better way to rebuild our economy for the future than to modernize our badly aging infrastructure."
"We passed the #AmericanRescuePlan. Now it’s time for the #AmericanJobsPlan. Uncle Joe is providing steady leadership and actual passable legislation," another user tweeted.
And just today, President Biden unveiled the American Jobs Plan, which will create millions of jobs, invest in our infrastructure, help us make real progress on the climate crisis, and reimagine and rebuild a new economy. https://t.co/p8HIpbY9RM— London Breed (@LondonBreed) March 31, 2021
President Biden’s American Jobs Plan is exactly what our nation needs right now to revitalize our communities. There is no better way to rebuild our economy for the future than to modernize our badly aging infrastructure.— Rep. Frank Pallone (@FrankPallone) March 31, 2021
What is the future of the plan?
You should know that the 'American Jobs Plan' is simply a proposal from the President. It's like a Christmas wish-list, filled with suggestions and ideas. The next step is for Congress to debate on the proposal, and create a bill accordingly. Not all of the proposals floated by Biden will make it into the final bill. It will be up to the two Houses to debate what is workable, and urgent.
The full $2 trillion proposal could be approved by the House of Representatives as-is, given that Democrats have a majority and can pass the bill easily. The Senate will be a trickier challenge. The bill will need at least 60 votes to pass provided the filibuster isn't abolished, and so far not a single Republican has indicated they are willing to work with the Democrats. Lead by McConnell, Republicans. in the Senate have been stalling on almost all major legislation dating back to the Obama Presidency.
The huge price tag seems to be a key issue for Republicans. If Democrats can find a way to cut certain parts of the plan, some moderate Republicans may be on board. We will know over the next few weeks as Congress starts debating the matter.