Stimulus check update: Is the White House looking to send more money?


Multiple media outlets reported Friday that the Biden administration has recently mulled a new stimulus plan to send Americans rebate cards to help offset rising gas prices.

washington post he wrote that senior White House advisers recently reviewed a plan to send gas rebate cards to American households after the administration decided against it months earlier. fox business also reported that an unnamed official said the Biden administration was considering rebate cards, although the Mail He said there are problems delaying the plan.

One sticking point is that officials are reportedly concerned that consumers will use the cards to buy items other than gasoline. The other is that recent shortages in the chip industry may create a bottleneck in the physical production of cards.

CNN also quoted an official close to the matter as saying that the administration of the cards and speculation about how the money would be spent are the main obstacles currently preventing the plan from receiving the green light. It is also reportedly thought that Republicans in Congress would not approve such a stimulus plan.

news week contacted the White House for comment.

Joe Biden speaks on a virtual call
Officials in the administration of President Joe Biden have reportedly discussed sending gas rebate cards to Americans in recent days. Above, Biden speaks during a virtual Forum of Major Economies on Energy and Climate at the Eisenhower Executive Office Building on June 17 in Washington, DC
Photo by Alex Wong/Getty Images

Another problem with stimulus checks is that they have been cited as one of the contributing factors to the current runaway inflation. Financial experts have blamed the influx of stimulus cash for causing an imbalance in supply and demand, because the amount of goods currently available does not satisfy the desires of Americans looking to spend more.

In an attempt to better balance the relationship between supply and demand, the Federal Reserve on Wednesday announced its biggest interest rate hike in 28 years. This move was made so that consumers spend less due to higher rates. Americans who have more stimulus money to spend could run counter to this logic.

In March, Axios reported that the White House discussed gas cards but shelved the idea. The outlet quoted an anonymous attendee as saying that even some House Democrats had voiced opposition to the concept. Other factors for not following the plan at the time included not wanting to overextend the IRS, who would be responsible for the distribution, and concerns that it would worsen inflation.

As of Friday, the national average price for a gallon of regular gasoline was $5, according to the American Automobile Association (AAA). Earlier this week, AAA posted the highest ever figure for regular gasoline at $5,016. By comparison, the median price was $3,075 at this time last year.

Recent polls show that Americans are frustrated with paying more at the pump, and Democrats may feel the brunt of their anger.

A survey published last week by washington post and George Mason University’s Schar School found that about 44 percent of American drivers said they had only partially filled their vehicle’s gas tank due to high gas prices.

Meanwhile, an ABC News/Ipsos poll released earlier this month found that 74 percent of American adults said gas prices will be an “extremely” or “very” important factor in how they vote. during the fall midterm legislative elections.



Reference-www.newsweek.com

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