The public got what it wanted with Biden's covid-19 and economic relief bill

Polls show the government delivered on its promises — largely thanks to Democrats

If you haven’t already, please read the post I wrote earlier this week about the potential political effects of Democrats’ covid-19 relief bill. In it, I argue that the stimulus poses a unique opportunity for Democrats to win back some of the low-income white voters who have tended to vote for Republicans in the past. Modern electoral history provides no example of government spending this large, so we cannot draw lessons in the usual way. The most relevant information is that economic growth usually helps the incumbent party (though maybe not in midterms). But the income gains from the Democrats’ bill will be huge; For the lowest income quintile, it will deliver about a decade’s worth of income growth and poverty reduction this year.

I want to note that this is a rather remarkable success for government intervention in the economy. In a world where we’re constantly focusing on politics and electoral implications, the substantive impacts of the policy are worth keeping in mind.

In this…