President Biden As the Build Back Better Act moves through Congress, economists disagree over its possible inflationary effects.
The $1.75 trillion legislation — which the House of Representatives passed on Friday — would expand various social programs, including universal preschool, childcare subsidies, and climate change initiatives. The Congressional Budget Office — the federal government’s nonpartisan fiscal scorekeeper — said that the bill would add $367 billion to the deficit by 2031, not considering a potential $207 billion windfall arising from enhanced tax enforcement efforts.
Some reports indicate that the Build Back Better Act would have a negligible impact on price levels; […]
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