As fears surrounding the COVID-19 outbreak continue to cause turmoil in the financial markets, the Trump administration is planning a stimulus package, hoping to offset the effects of economic downturn. But with a health crisis as the culprit, the aid could look quite different from packages in the past, when financial systems were the source of chaos.
Louise Sheiner is a senior fellow of economic studies at The Brookings Institution. She spoke with “Marketplace” host Kai Ryssdal about what an economic stimulus plan would need today, despite the cost.
“If we let this thing get into a very bad economic outcome, that’s a huge downside,” Sheiner said. “The cost of doing too much is just not that very high right now with interest rates so low.”
Click the audio player above to hear the interview.
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