Spend or save: Will Biden’s stimulus cheques boost the economy?

Economists are split on what Americans will do with the next round of coronavirus relief aid, and what impact the $1.9 trillion package will have on the economy.

United States President Joe Biden’s $1.9 trillion stimulus package is set to return to the House of Representatives this week for a final vote before landing on Biden’s desk for his signature soon afterwards. The bill passed by the Senate on Saturday featured a pared-down version of one of Biden’s signature promises: $1,400 stimulus cheques sent directly to millions of Americans who are struggling a year into the coronavirus pandemic. In order to get support from moderate senators, Biden agreed to lower the income limits for the payments to $80,000 per individual, $120,00 for single parents, and $160,000 for couples. The Senate bill maintains the federal top-up to state unemployment benefits at $300 per week and extends it until September 6, while the House’s bill would keep it at $400 and end the payments in August.