• Home
  • Latest
  • Fortune 500
  • Finance
  • Tech
  • Leadership
  • Lifestyle
  • Rankings
  • Multimedia

Trendingnow

1

The millennial generation has split, new Fed research shows: Those over 35 are edging toward boomer-style wealth, while everyone else falls behind

2

Mark Cuban says he has the solution to growing income inequality, and it's to reward every employee—from CEO to janitor—with company stock

3

Mathematicians grapple with a ‘very rapid and very unsettling change’ as AI cracks yet another century-old problem

1

The millennial generation has split, new Fed research shows: Those over 35 are edging toward boomer-style wealth, while everyone else falls behind

2

Mark Cuban says he has the solution to growing income inequality, and it's to reward every employee—from CEO to janitor—with company stock

3

Mathematicians grapple with a ‘very rapid and very unsettling change’ as AI cracks yet another century-old problem
Financestimulus

Top economists say this is what’s on their stimulus wishlist—and the bipartisan bill looks pretty close

Anne Sraders
By
Anne Sraders
Anne Sraders
Down Arrow Button Icon
Anne Sraders
By
Anne Sraders
Anne Sraders
Down Arrow Button Icon
December 4, 2020, 9:00 PM ET
Add Fortune on Google for similar content.
For the latest information on the ongoing stimulus negotiations, please check out our coverage here.

It’s been clear in the data for a while: The economic recovery is slowing. At the same time, the window for more stimulus to help boost that recovery is narrower than ever.

That decelerating pace was even more evident in the unemployment data released Friday, showing only 245,000 jobs were added in the month of November—dropping the unemployment rate from 6.9% to 6.7%.

The report comes as Congress is making progress on a new $908 billion stimulus bill, this time with bipartisan support. Even House Speaker Nancy Pelosi, who has long pushed for several trillion dollars in aid, has said the the smaller bill is a good jumping off point for further negotiations.

But with the slowing pace of the economic recovery and a winter without a widely-distributed vaccine, some economists are feeling exasperated with Capitol Hill: “C’mon, already!” exclaims Moody’s Analytics chief economist Mark Zandi.

“If we don’t get that help, [Friday’s unemployment] report suggests that the economy is going to start backtracking, we’re going to start losing jobs, and unemployment will start rising again,” Zandi tells Fortune. Without more stimulus, “There’s a pretty good chance this will go down in history as a double-dip recession,” he believes.

Michelle Meyer, head of U.S. economics at Bank of America, is slightly more optimistic: “There’s a clear economic case for the stimulus, but I think it’s important to remember that the economy has continued to recover, has continued to heal,” she tells Fortune. “Another round of stimulus will simply speed up that healing process in a way that could be very powerful for the trajectory of growth once we have the vaccine.”

But what’s on economists’ wishlists for a stimulus bill to bridge the gap between an ailing economy and a vaccine-liberated one?

Top stimulus priorities

For Bank of America’s Meyer, a few things top the list: More funds for testing and a vaccine (“clearly number one,” she says), pandemic unemployment insurance (which includes expanded groups like freelancers and gig workers who are due to lose access next year), and aid for small businesses make up her top three.

In a broader sense, “the first priority is, bottom line, those households who don’t have a job, don’t have any savings,” says Moody’s Zandi.

He agrees that more money for the unemployed, testing, and small businesses is crucial, and that rental assistance, support for transportation like airlines, and state and local funding are also key: “Those are all, I think, things that are necessary to bridge the economy to the other side of the pandemic,” he states.

Liability insurance, a key Republican ask, and state and local funding, a Democrat sticking point, are both good ideas, Zandi says. And Meyer thinks “ultimately to get a bill through, they’re going to have to have a little bit of both.”

To be sure, that all adds up pretty quickly. But the latest bipartisan proposal ticks a lot of those boxes for Zandi and Meyer.

The bipartisan proposal currently includes $180 billion for enhanced unemployment benefits, $288 billion in small business funding, $16 billion for testing and the vaccine, and $25 billion in rental assistance (Plus, some $180 billion for state and local funding).

As a bridge to the other side of the pandemic, “I think they got it right,” says Zandi.

In addition to unemployment and small business support, Zandi argues rental assistance is also a critical component to another deal, especially with eviction moratoriums expiring at the end of the year. “That has a very heightened-level need because either you’re going to have people getting evicted in the middle of winter, in the middle of a raging pandemic, or you’re really sticking it to a lot of mom-and-pop landlords,” he notes. “That’s not that expensive, so, check.”

Certainly the price tag is much lower than the Democrats’ previous $2.2 trillion mark and above Republicans’ $500 billion deal, but economists like Meyer argue roughly $1 trillion of stimulus is “probably appropriate to get us through the next few months.”

‘Blanketed’ stimulus checks aren’t essential

One thing that’s not on Zandi or Meyer’s wishlist? More stimulus checks. The new bipartisan bill notably doesn’t include more $1,200 direct payments, which has already caused a stir among some in Washington, including President-elect Joe Biden and Sen. Bernie Sanders. But economists like Meyers and Zandi argue now more “targeted” support is needed.

“There are very clear differences in how people are faring,” from those who have been able to keep their jobs versus those struggling with unemployment or in hard-hit industries, “so I don’t think we need to have a blanket stimulus check at this point,” Zandi believes.

Whatever the particular line items, a smaller bill looks more likely now (versus the $2.2 trillion or $3 trillion asks from Democrats earlier this fall) because of the time crunch: Congress has until Dec. 11 to pass a spending bill and additional stimulus, and Republicans likely won’t sign a massive deal.

Adds Zandi: “At this point, sooner rather than bigger, is better.”

About the Author
Anne Sraders
By Anne Sraders
LinkedIn iconTwitter icon
See full bioRight Arrow Button Icon
Add Fortune on Google for similar content.

Latest in Finance

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025

Most Popular

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Fortune Secondary Logo
Rankings
  • 100 Best Companies
  • Fortune 500
  • Global 500
  • Fortune 500 Europe
  • Most Powerful Women
  • World's Most Admired Companies
  • See All Rankings
  • Lists Calendar
Sections
  • Finance
  • Fortune Crypto
  • Features
  • Leadership
  • Health
  • Commentary
  • Success
  • Retail
  • Mpw
  • Tech
  • Lifestyle
  • CEO Initiative
  • Asia
  • Politics
  • Conferences
  • Europe
  • Newsletters
  • Personal Finance
  • Environment
  • Magazine
  • Education
Customer Support
  • Frequently Asked Questions
  • Customer Service Portal
  • Privacy Policy
  • Terms Of Use
  • Single Issues For Purchase
  • International Print
Commercial Services
  • Advertising
  • Fortune Brand Studio
  • Fortune Analytics
  • Fortune Conferences
  • Business Development
  • Group Subscriptions
About Us
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • Facebook icon
  • Twitter icon
  • LinkedIn icon
  • Instagram icon
  • TikTok icon
  • YouTube icon

Latest in Finance

‘It’s called StreetEasy, not StreetHard’: Mamdani cracks down on scourge of ‘housefishing’ and ‘real estate slop’
Real EstateHousing
‘It’s called StreetEasy, not StreetHard’: Mamdani cracks down on scourge of ‘housefishing’ and ‘real estate slop’
By Tatiana SatauaJuly 22, 2026
6 hours ago
As Washington panics about Chinese AI, Jensen Huang says open-source models like Kimi are ‘excellent’ and should be embraced, not banned
AIChina
As Washington panics about Chinese AI, Jensen Huang says open-source models like Kimi are ‘excellent’ and should be embraced, not banned
By Marco Quiroz-GutierrezJuly 22, 2026
6 hours ago
Man holding his hands open
InvestingStock
A new group of stocks is transforming global equities markets. Meet ‘Memi,’ the $3 trillion sector fueled by AI’s insatiable hunger for memory chips
By Amanda GerutJuly 22, 2026
7 hours ago
Scott Bessent speaks inside the Oval Office.
EconomyU.S. Department of the Treasury
Scott Bessent casually says the U.S. has more than $1 trillion in gold—and that it doesn’t matter for the dollar
By Sasha RogelbergJuly 22, 2026
7 hours ago
Canadian Prime Minister Mark Carney speaks to US President Donald Trump in front of a window.
EconomyDonald Trump
Carney and Trump agree to speed up trade negotiations a day after Trump puts a 50% tariff on Canadian goods
By The Associated Press and Jim MorrisJuly 22, 2026
8 hours ago
Trump Accounts draw 6.5 million sign-ups, but some families are still waiting on the promised $1,000 funding
InvestingDonald Trump
Trump Accounts draw 6.5 million sign-ups, but some families are still waiting on the promised $1,000 funding
By The Associated Press and Moriah BalingitJuly 22, 2026
9 hours ago

Most Popular

The millennial generation has split, new Fed research shows: Those over 35 are edging toward boomer-style wealth, while everyone else falls behind
Real Estate
The millennial generation has split, new Fed research shows: Those over 35 are edging toward boomer-style wealth, while everyone else falls behind
By Nick LichtenbergJuly 22, 2026
10 hours ago
Mark Cuban says he has the solution to growing income inequality, and it's to reward every employee—from CEO to janitor—with company stock
Success
Mark Cuban says he has the solution to growing income inequality, and it's to reward every employee—from CEO to janitor—with company stock
By Sasha RogelbergJuly 20, 2026
2 days ago
Mathematicians grapple with a ‘very rapid and very unsettling change’ as AI cracks yet another century-old problem
AI
Mathematicians grapple with a ‘very rapid and very unsettling change’ as AI cracks yet another century-old problem
By Eva RoytburgJuly 21, 2026
1 day ago
OpenAI says its AI models secretly broke out of a secure test environment and hacked into AI company Hugging Face in order to cheat on an evaluation
Cybersecurity
OpenAI says its AI models secretly broke out of a secure test environment and hacked into AI company Hugging Face in order to cheat on an evaluation
By Jeremy Kahn and Emily ForliniJuly 21, 2026
1 day ago
Despite a $156 million contract, Knicks star Jalen Brunson still calls his parents for financial advice any time he makes a big purchase
Success
Despite a $156 million contract, Knicks star Jalen Brunson still calls his parents for financial advice any time he makes a big purchase
By Emma BurleighJuly 21, 2026
1 day ago
‘I want to die broke’: Billionaire philanthropist Denny Sanford dies after giving away $4 billion
Success
‘I want to die broke’: Billionaire philanthropist Denny Sanford dies after giving away $4 billion
By Sydney LakeJuly 20, 2026
3 days ago

© 2026 Fortune Media IP Limited. All Rights Reserved. Use of this site constitutes acceptance of our Terms of Use and Privacy Policy | CA Notice at Collection and Privacy Notice | Do Not Sell/Share My Personal Information
FORTUNE is a trademark of Fortune Media IP Limited, registered in the U.S. and other countries. FORTUNE may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.