Introduction

COVID-19: Impacts and Responses provides a roundup of AAF’s insights on the coronavirus pandemic. AAF experts are analyzing both the pandemic’s health and economic impacts and the government’s response. Check back often for insight on the latest developments.

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Insight

The CARES Act and Mortgage Servicers

Executive Summary The Coronavirus Aid, Relief, and Economic Security (CARES) Act provides substantial relief in the form of up to a year of forbearance to homeowners with mortgages backed by federal loans. The Act, however, does not expressly provide for…

Multimedia

The AAF Exchange — Ep. 24: Delivering Economic Aid for the COVID-19 Crisis

AAF President Douglas Holtz-Eakin discusses how—and when—the CARES Act will deliver economic aid.

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Insight

Direct Assistance for Individuals in the Coronavirus-Response Acts

Congress has recently enacted three new laws in response to the COVID-19 pandemic that provide myriad means of assistance for individuals.

The Daily Dish

Making CARES Work

Eakinomics: Making CARES Work The United States needs to channel its inner Denmark, according to Emmanuel Saez and Gabriel Zucman – the People’s Republic of Berkeley economists who gave us the Sanders and Warren wealth taxes. (By the way, why do New…
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Economy

Insight

Operationalizing Small Business Emergency Loan Relief

Executive Summary The Coronavirus Aid, Relief, and Economic Security (CARES) Act directs an additional $349 billion to the Small Business Administration (SBA) for the relief of small businesses. There is a clearly articulated need for this aid to be delivered…

The Daily Dish

Are Warrants Warranted?

Eakinomics: Are Warrants Warranted? The Coronavirus Aid, Relief, and Economic Security (CARES) Act provides $32 billion in grants and $29 billion in credit assistance to the airline industry, as well as relief from excise taxation related to commercial air travel. As the administration,…

Insight

Evaluating CARES Assistance to the Airlines – As Enacted

The Coronavirus Aid, Relief, and Economic Security (CARES) Act provides $32 billion in grants and $29 billion in credit assistance to the airline industry, as well as relief from excise taxation related to commercial air travel.

The Daily Dish

CARES Act in Historical Perspective

Eakinomics: CARES Act in Historical Perspective I get it. It is Friday of another long week of quarantine. You’ve had it with the coronavirus and even more over talking about it. After a week of drama the Senate finally passed the…

Multimedia

The AAF Exchange — Ep. 23: The Economic Impact of the COVID-19 Crisis

AAF President Douglas Holtz-Eakin discusses the economic impact of the COVID-19 crisis and how effective the federal government’s response will be in stabilizing the economy.

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Insight

Financial Services Provisions in the Coronavirus Aid, Relief, and Economic Security (CARES) Act – As Enacted

Executive Summary The Coronavirus Aid, Relief, and Economic Security (CARES) Act is a $2 trillion stimulus package with significant implications across financial services and nearly all other aspects of the economy. The final version of the Act is similar to…

Insight

Fill It Up – The Limitations of Filling the Strategic Petroleum Reserve – As Enacted

Executive Summary  President Trump has proposed purchasing oil to fill the Strategic Petroleum Reserve (SPR), which the government developed to counter crude oil supply shortages.   COVID-19 has contributed to excess crude oil supplies that have driven prices to historically low levels.  The Coronavirus Aid, Relief, and…

Multimedia

Douglas Holtz-Eakin discusses the economic impact and response to coronavirus

AAF President Douglas Holtz-Eakin discusses the latest unemployment numbers and the federal government’s response to the coronavirus.

Insight

Tax Provisions in the Coronavirus Aid, Relief, and Economic Security (CARES) Act -FINAL VERSION

The CARES Act includes substantial – in excess of $300 billion – individual rebates, among other relief provisions.

Insight

Stock Buybacks for Dummies

Executive Summary Stock buybacks are again part of the policy discussion, including the president opining that “we don’t want stock buybacks.” This assertion presumes that buybacks are in some way undesirable or damaging. A straightforward examination of buybacks indicates: Stock…

Op-Ed

What’s needed to prevent economic disaster during the coronavirus pandemic? Quick Intervention

Douglas Holtz-Eakin penned a brief op-ed for The Boston Globe explaining what the government needs to do to prevent an economic disaster. He wrote: The problem is enormous, but not complicated: The coronavirus has brought large swaths of commerce —…

The Daily Dish

Technology Policy and the Pandemic

Eakinomics: Technology Policy and the Pandemic Ten days ago AAF began a policy of optional teleworking, and nearly everyone has been working remotely since. Hopefully you did not notice. Beginning today, the District of Columbia’s latest closure order goes into effect, ceasing all…

Insight

How Technology Policy Enables COVID-19 Responses

The United States’ largely permissionless approach to regulating technology has allowed innovators and companies to build services that make social distancing more achievable and tolerable for many. User-generated content on social-media platforms has both enabled useful information to spread and…

Insight

Understanding Dislocated Worker Grants

Executive Summary Since its creation in 2014 under the Workforce and Innovation Opportunity Act, the Department of Labor’s Dislocated Worker Grant (DWG) program has expanded to address several different circumstances and populations. In response to increased unemployment due to COVID-19,…

The Daily Dish

Stimulus, Now Strategy

Eakinomics: Stimulus, Now Strategy The Coronavirus Aid, Relief, and Economic Security (CARES) Act is now on track to be the law of the land (or at least appeared to be when this was written!), so the administration now has its stimulus bill. But…

Insight

How to Evaluate Costs in the CARES Act

The Congressional Budget Office baseline is grounded in a January economic forecast that is now historical fiction.

Insight

The State of Immigration During the Coronavirus Outbreak

Executive Summary The Trump Administration has made several changes to immigration policy to reduce the spread of the coronavirus. The new policies aim to limit the flow of immigration with travel restrictions, border closures, and a temporary halt in new…

Op-Ed

Policy and the Pandemic

The United States faced economic crises after the 9/11 attacks and the 2008 financial collapse, but the coronavirus pandemic is producing the greatest economic crisis since the Great Depression, writes AAF President Douglas Holtz-Eakin in a new op-ed in The…

Insight

Evaluating CARES Assistance to the Airlines

The U.S. Senate CARES Act provides $58 billion in loans and loans guarantees to the aviation industry, as well as relief from jet fuel excise taxation

Insight

Labor Provisions in the Coronavirus Aid, Relief, and Economic Security (CARES) Act

Executive Summary The new paid sick and childcare leave provisions already enacted in H.R. 6201 would be changed by the recently introduce Coronavirus Aid, Relief, and Economic Security (CARES) Act. As a result of Department of Labor and Treasury action,…

Insight

Fed Announces Extensive New Measures to Support the Economy

Executive Summary On March 23, the Federal Reserve (Fed) expanded on the already decisive deployment of tools from its monetary policy arsenal in seeking to mitigate the economic impacts of the coronavirus. In addition to expanding the powers of two…

Multimedia

Douglas Holtz-Eakin Discusses the Senate’s Stimulus Bill on MSNBC Live

AAF President Douglas Holtz-Eakin discusses the provisions in the Senate’s stimulus bill on MSNBC Live with Craig Melvin.

Multimedia

Douglas Holtz-Eakin Discusses the Federal Reserve’s Recent Actions on Bloomberg

AAF President Douglas Holtz-Eakin discusses the Federal Reserve’s recent actions and the larger federal government response to the coronavirus pandemic.

Insight

Tax Provisions in the Coronavirus Aid, Relief, and Economic Security (CARES) Act – UPDATED

The CARES Act includes substantial – in excess of $300 billion – individual tax rebates and a delay in the April 15 tax-filing deadline, among other relief provisions.

Insight

Financial Services Provisions in the Coronavirus Aid, Relief, and Economic Security (CARES) Act – UPDATED

Executive Summary On March 22, Senate Republicans released a revised draft of the CARES Act that reflected Democratic input; the Act is now a two trillion-dollar stimulus package with significant implications across financial services, tax, health and all other aspects…

Insight

Assessing the Effect of the CARES Act on Student Loans

Executive Summary • The Coronavirus Aid, Relief, and Economic Security (CARES) Act provides deferment of principal and interest payments on federal student loans for six months. • The Act only provides loan forgiveness for students that have or will withdraw…

Insight

Timeline: The Federal Reserve Responds to the Threat of Coronavirus

Executive Summary On Sunday, March 15, the Federal Reserve embarked on a large-scale program employing emergency powers in order to stabilize a tumultuous economy under pressure from the novel coronavirus COVID-19. Chief among these emergency actions are cutting interest rates…

Insight

H.R. 6201: Big Costs for Small Businesses

Executive Summary The paid sick and childcare leave benefit included in H.R. 6201, the Families First Coronavirus Response Act, is expected to go into effect on April 3rd, 2020. The legislation has outlined a funding mechanism of refunds from the…

The Daily Dish

The Case for Supporting the Airlines

Eakinomics: The Case for Supporting the Airlines Congress is considering the next step in responding to the coronavirus pandemic, and included in the mix is the request by U.S. airlines for $50 billion in cash grants and unsecured loans, as well…

The Daily Dish

Buy American – Coronavirus Edition

Eakinomics: Buy American – Coronavirus Edition The idea of “Buy American” is hardly new; it has the same perpetual, misguided appeal as minimum wage laws and price controls on drugs. But research has shown that Buy American laws increase the cost of goods purchased by…

Insight

Coronavirus, Tariffs, and Buy American Laws

The Trump Administration is pursuing twocontradictory policies, one targeted at expanding trade and the other at restricting it, are both aimed at combating the coronavirus outbreak. Only one will have the desired effect.

Insight

Evaluating Assistance to the Airlines: The Air Transportation Safety and System Stabilization Act

After 9/11 the federal government provided nearly $7 billion in grants and loan-guarantee disbursements to airlines.

Insight

Fill It Up – The Limitations of Filling the Strategic Petroleum Reserve 

Executive Summary  President Trump has proposed purchasing oil to fill the Strategic Petroleum Reserve (SPR), which the government developed to counter crude oil supply shortages.   COVID-19 has contributed to excess crude oil supplies that have driven prices to historically low levels.  Because the SPR is already close…

Week in Regulation

Regulation in the Age of the Coronavirus

In the midst of a week where the spread of COVID-19 took over the health and economic concerns of the nation, it is difficult to find much in the regular flow of regulations that comes anywhere close to the novel…

Insight

Financial Services Provisions in the Coronavirus Aid, Relief, and Economic Security (CARES) Act

Executive Summary Companies with fewer than 500 employees are eligible for a loan for as much as $10 million, with wide flexibility on use; the total cost of this provision is $300 billion. Businesses will be able to achieve loan…

Multimedia

#Eakinomics: The Economic Response to the Coronavirus Pandemic

AAF President Douglas Holtz-Eakin discusses the steps needed to conduct a proper economic response to the coronavirus pandemic.

 

Insight

Tax Provisions in the Coronavirus Aid, Relief, and Economic Security (CARES) Act

The CARES Act includes substantial – in excess of $100 billion – individual tax rebates and a delay in the April 15 tax-filing deadline, among other relief provisions
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Household

Insight

Housing Provisions in the Coronavirus Aid, Relief, and Economic Security (CARES) Act

Executive Summary The Coronavirus Aid, Relief, and Economic Security (CARES) Act is a $2 trillion stimulus package with significant implications across housing and nearly all other aspects of the economy. Those with mortgages backed by federal loans can request six…

Insight

Enhanced Unemployment Benefits in the Coronavirus Aid, Relief, and Economic Security (CARES) Act– FINAL VERSION

The UI benefits in the CARES Act will cost between $233.8 billion and $412.3 billion, depending on how many people use these expanded benefits and for how long.

Insight

Scoping the Initial Unemployment Insurance Claims Shock

The public health response to the COVID-19 pandemic will force the closure of a significant share of U.S. firms and induce a surge in underemployment insurance (UI) claims.

Research

Estimating the Cost of the Families First Coronavirus Response Act

Executive Summary Given the continued worsening of the COVID-19 outbreak in the United States and around the world, Congress is negotiating a deal on an additional emergency response package that is expected to cost $183.8 billion, according to estimates by the American Action Forum. If an important restriction…

Insight

Assessing the Administration’s Freeze of Student Loan Interest Payments

Executive Summary As part of a suite of emergency responses, the Trump Administration on Friday, March 13, announced that it will temporarily waive interest payments on federal student loans. This measure does nothing in the short term to change student-loan…

The Daily Dish

Update on Coronavirus Response

Eakinomics: Update on Coronavirus Response Friday saw important developments in the response to the coronavirus pandemic at both ends of Pennsylvania Avenue. The president announced a state of emergency that permits federal officials greater latitude in their activities. Good enough. But…

Multimedia

#Eakinomics: The Families First Coronavirus Response Act

AAF President Douglas Holtz-Eakin explains what the provisions within the Families First Coronavirus Response Act do for the U.S. economy.

The Daily Dish

Paid Sick Leave Meets COVID-19

Eakinomics: Paid Sick Leave Meets COVID-19 As part of the response to COVID-19 – the disease spread by the coronavirus pandemic – Speaker Pelosi and Minority Leader Schumer have floated the idea of having a taxpayer-paid sick-leave program. As reported by Talking Points…

Insight

Estimating the Cost of a Federal Paid-Leave Benefit During COVID-19 Outbreak

Millions of low- and middle-income workers do not have access to paid sick leave and there is concern that they are unlikely to voluntarily stay home despite the possibility of being infected.

Insight

Tax Provisions in the Coronavirus Aid, Relief, and Economic Security (CARES) Act

The CARES Act includes substantial – in excess of $100 billion – individual tax rebates and a delay in the April 15 tax-filing deadline, among other relief provisions
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Health Care

Insight

How the CARES Act Responds to the COVID-19 Public Health Crisis

Executive Summary The Coronavirus Aid, Relief, and Economic Security (CARES) Act contains myriad health policy provisions and $140.4 billion in funding for the Department of Health and Human Services (HHS). The health provisions in CARES can best be understood as…

The Daily Dish

Capping Seniors’ Drug Costs

Eakinomics: Capping Seniors’ Drug Costs The COVID-19 pandemic has consumed the world, including the policy world. Congress has passed the CARES Act and included in it a variety of unrelated health policy provisions. This signals pretty clearly that legislation to address “surprise billing” and…

Week in Regulation

Modest Rulemaking Week as Focus Remains on Pandemic

In the pages of the Federal Register last week, there was a grand total of five rulemakings with some quantified cost or paperwork estimate. While it is difficult to say definitively, this relative lack of activity could be the first…

Insight

Regulatory Provisions in the Phase 3 Stimulus Package – UPDATED

Executive Summary The Coronavirus Aid, Relief, and Economic Security (CARES) Act now focuses on two major Food and Drug Administration (FDA) deficiencies as the agency continues to address the COVID-19 emergency: the prioritization of drug approvals, and its apparent lack…

The Daily Dish

H.R. 6201

Eakinomics: H.R. 6201 By now most people know that the House passed a bill responding to the COVID-19 pandemic. But what is in the bill is a bit more complicated. There are some fairly straightforward enhancements to Medicaid, food programs, and…

Weekly Checkup

BARDA and the Coronavirus Vaccine Race

As of this week, the number of diagnosed novel coronavirus (COVID-19) cases surpassed 1,000 in the United States. Amid understandable anxiety, some on the left have taken to heart former Congressman (and White House Chief of Staff) Rahm Emanuel’s famous…

Weekly Checkup

What Italy Can Teach Us About Reacting to the Coronavirus

As the public comes to grips with the critical actions necessary to curb the spread of COVID-19, we hear much about “flattening the curve” and “social distancing.” But why are these principles so important for protecting not just ourselves, but…

Insight

Regulatory Provisions in the Phase 3 Stimulus Package

Executive Summary The Coronavirus Aid, Relief, and Economic Security (CARES) Act aims to rectify two major Food and Drug Administration (FDA) failings during the COVID-19 emergency: its failure to waive red tape on laboratory-developed tests, and its apparent lack of…
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Experts