White House tackles jobs bill and how to pay for it
TOLEDO, Ohio (WTVG) - Get ready for this phrase to gain some steam: The American Jobs Plan. It’s the new Biden administration idea to get the economy moving again but there are big concerns on how to pay for it. The 13abc I-Team spoke with White House officials Friday about how the plan will be funded and what’s in it.
As an area with a long tradition in the auto industry, places like Toledo may be part of the next wave and that is electric vehicles. That’s just one piece of President Biden’s American Jobs Plan. From batteries to vehicles, this bill will help fund the switch.
“It provides resources to help those businesses make that transition so we can have that vital industry here in the United States,” says Heather Boushey with the Biden administration’s Council of Economic Advisors.
It’s a two trillion dollar bill funding things like infrastructure, broadband, and technological innovations. All this comes with a cost and the Biden administration says that comes from tax increases on corporations.
“They undo some of the distortions that were put into our economy as part of recent tax changes. They make sure we reward work and not wealth,” says Boushey.
There’s worry raising taxes on businesses will discourage investments and lead to job cuts. The Biden administration says in 2017, when corporate taxes were cut, companies invested in things like stock options and not their businesses.
“If we bump the tax rate back up a little bit, not all the way back to where it was before the changes in 2017, we’re likely we believe to see that that certainly can’t reduce investment from where it is but will hopefully encourage firms that combined with the international pieces to invest more here at home,” said Boushey.
Administration officials estimate more than 8 million jobs were lost during COVID. They’re hopeful this plan brings many people back to employment, grows the middle class, and makes the country competitive.
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