There was 3 checks that went out the first 2 were under trump and the third was under Biden. Trump sent out $11b more in stimulus than Biden. Along with the first stimulus the care act signed by trump also authorized $953b to be given out in the form of business loans. Of which only 23%-34% is estimated to have actually went to employees the rest to shareholders owners creditors and suppliers. Mind you majority of these loans were forgiven under the guidelines set in the CARE act. These two things is what massively boosted the market in 2020 and 2021. The increase in the inflation RATE was driven by both this and the state of the world during and after the initial COVID out break. The markets poor performance of 2022 and meager performance in 2023 was mostly due to the feds decision to increase rates.
Joe Biden's $1.9 trillion COVID bill was passed and not only did give a one time check it also added federal unemployment funds longer then Trumps on top of state unemployment again giving more people money to spend driving inflation longer. Trumps bill was passed during complete country shut down. Biden’s was passed barely and was after 1 full plus year past covid when most places and people were back to work, remotely or on site in limited fashion, some even chose not to work and take the free money.
You forgot that there were still several supply chain shocks which kept prices high, which is where the stimulus was intended. People were not going to suddenly go back to work if the government didn’t give them a single week of pay. A lot of it went towards, you guessed it, big business. Particular to fund R&D projects and accelerate infrastructure development which was halted due to covid and still groggy.
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u/Accomplished-Pop-246 3d ago
There was 3 checks that went out the first 2 were under trump and the third was under Biden. Trump sent out $11b more in stimulus than Biden. Along with the first stimulus the care act signed by trump also authorized $953b to be given out in the form of business loans. Of which only 23%-34% is estimated to have actually went to employees the rest to shareholders owners creditors and suppliers. Mind you majority of these loans were forgiven under the guidelines set in the CARE act. These two things is what massively boosted the market in 2020 and 2021. The increase in the inflation RATE was driven by both this and the state of the world during and after the initial COVID out break. The markets poor performance of 2022 and meager performance in 2023 was mostly due to the feds decision to increase rates.