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The United States passes law for public spending of more than 1 trillion dollars

The Infrastructure Bill of the United States was finally approved by the House of Representatives, after a couple of months of disagreement among legislators.

The approval of this law that allows the spending of up to $ 1.3 trillion in various projects It was given in the highest legislative body of the North American country during the night of this Friday, November 5.

The approval of this law came with a majority of 228 votes in favor and 206 against, according to various local media reports. Now, the Law rests on the office of the president of the United States, Joe Biden, awaiting the final signature, almost three months after the Senate first approved the document, as . reviewed.

The resources approved in this Infrastructure Law would be invested in transportation projects, such as roads, bridges, airports or vehicles with zero polluting emissions. It also includes budgets for broadband internet, potable water, and energy.

However, there are those who wonder where the money will come from to pay for all that monetary issue, one of the largest in American history. The wing of the Democratic Party, to which President Biden and the main promoter of the Act belongs, includes among the revenues to pay off the public debt the bitcoin and cryptocurrency industry tax collection.

Taxes on this industry were included in this Infrastructure Law, despite an amendment proposal that sought to exclude bitcoin and cryptocurrencies from this tax proposal. This proposal was rejected in the Senate, before the Infrastructure Bill was sent to the House of Representatives, where it has just been finally approved.

Year-on-year inflation in the United States topped 5% this year. Source:

Inflation on the prowl

As its promoters celebrate the passage of this law, which allows Biden a massive public spending with a focus on social benefits and infrastructure to Americans, there are those who see an imminent danger: new highs for inflation and an increasingly weak dollar.

The concern is not unfounded. Data from the Department of Labor and the Consumer Price Index confirm this. As we reported in this medium last month, the interannual inflation indices of the North American country reached levels of the 2008 economic crisis, with an inflation of 5.4% between September 2020 and 2021.

If we compare it with the percentage of September of the previous year, year-on-year inflation has tripled in just 12 months in the United States.

Meanwhile, personalities from the financial world believe that this phenomenon will continue in the long term. Peter Thiel, co-founder of PayPal, recently warned about the need to hedge against sustained inflation. For this reason, he regretted not having bought more bitcoin in the past, since the increase in the price of the cryptocurrency is one of the consequences of that inflation, in his opinion.

About the author

Donna Miller

Donna is one of the oldest contributors of Gruntstuff and she has a unique perspective with regards to Science which makes her write news from the Science field. She aims to empower the readers with the delivery of apt factual analysis of various news pieces from Science. Donna has 3.5 years of experience in news-based content creation, and she is now an expert at it. She loves journalism, and that is the reason, she moved from a web content writer to a News writer, and she is loving it. She is a fun-loving woman who has very good connections with every team member. She makes the working environment cheerful which improves the team’s work productivity.

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