Speaker of the House Nancy Pelosi announced on Friday, Mar. 13 that a second stimulus bill would not be passed anytime in the near future. Her public statement came after rampant rumors that Democratic policymakers were considering such a proposal.
Pelosi had previously stated on Tuesday, Mar. 11 that Congress should remain open to the idea of another bill, stating that “we have to keep the door open.” After warnings from economists that the recently passed $787 billion stimulus bill would not be enough to trigger significant economic growth, David Obey, Chairman of the Appropriations Committee, began drafting of a second proposal. Economists project that the first stimulus will only preserve or create 2.5 million jobs-significantly fewer than the 3.5 million originally estimated by President Obama.
Congressional representatives have decided to wait for results from the first bill before consideration of another. The first stimulus bill was passed less than a month ago. More time is needed to evaluate the impact of that bill on the economy.
Representatives also state that the recently passed $410 billion omnibus spending bill will also contribute to economic growth.
The decision to hold off on another bill comes as a relief to most Republican party members, who rejected the first bill. House Republican Chairman Mike Pence expressed his disdain for both economic measures, stating that “the fact that they are already talking about stimulus two indicates that they already think stimulus one has failed.”
It is unclear whether any further economic legislation will be necessary in the future, but for now it remains unlikely. The fate of “stimulus two” remains unknown until results from the first bill can be seen.