Limited Progress on Spending Bills this Week but Deal Possible Next Week
- By Dominique Dwor-Frecaut
- 3 minutes read
I give a slightly more than 50% chance to a deal on infrastructure and social bills next week, though the bills are unlikely to have much impact on growth next year. They are more likely to impact the mid-terms outcome and therefore the US fiscal policy in 2023 and beyond.
There has been only limited progress this week on the BIF (bipartisan, infrastructure) and BBB (reconciliation, social spending & climate change) bills, as acknowledged by President Biden on a televised town hall last night. What is required is for centrist Democrats to sign up to a BBB bill that is acceptable to House progressives so they in turn will support the BIF bill already voted by the Senate.
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