Top Moody’s economist: Infrastructure and budget deals will help economy
Senate Majority Leader Chuck Schumer (D-N.Y.) on Wednesday will release a report by Moody’s chief economist Mark Zandi to push back on GOP attacks, arguing that the bipartisan infrastructure deal and Democrat-only social-spending package would help the economy.
Zandi writes, in excerpts provided to Axios: "Greater investments in public infrastructure and social programs will lift productivity and labor force growth, and the attention on climate change will help forestall its increasingly corrosive economic effects."
- Zandi says the policies "would direct the benefits of the stronger growth to lower-income Americans and address the long-running skewing of the income and wealth distribution."
- Failing to pass the legislation, Zandi says, "would certainly diminish the economy’s prospects."
Zandi contends that inflation concerns are "overdone," since "much of the additional fiscal support ... is designed to lift the economy’s longer-term growth potential and ease inflation pressures."
- "The legislation, he says, would "strengthen long-term economic growth, the benefits of which would mostly accrue to lower- and middle-income Americans."