For close followers of macro-economic policy, rarely has the gulf that separates the United States from the UK and Europe looked quite so wide as it does today. Even as the pandemic subsides, the US is pushing down hard on the fiscal accelerator, while in the UK and Europe we talk of applying the brakes. […] It is entirely free to make monetary and fiscal policy as it sees fit. […] As it is, Joe Biden believes that his fiscal giveaways will pay for themselves through the multiplier effect of superior rates of growth. […] Relative to GDP, US fiscal support is worth around four times what the UK has provided and three times that of Germany.
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