Keynesian Economics in a Modern Setting--America's response to the Coronavirus

Throughout my investigation of economic policies while writing my Position Paper III, I've discovered that, especially in times of crisis, United States Presidents will use Keynesian Principles to stimulate the economy.

This sparked a question in me. Does the current situation fit in with the the rest?

The answer turns out to be yes. The recently enacted Coronavirus Aid, Relief, and Economic Security (CARES) Act, or CARES, is just another way of using government spending to stimulate the economy.

However, there is one key difference between CARES and traditional stimulus packages given out by the government. Previously, economic policies like the New Deal gave not cash, but rather paid projects like building bridges, dams, or creating national parks. However, this CARES package gives only cash to people, and for good reason--you simply cannot be out building dams with your buddies with the coronavirus active. But with this change, comes more nuance.

There have been multiple reports of missing packages, not enough money, and a variety of other problems, illustrating how many problems still need to be solved with the system. Will it ultimately work out for America? Only time will tell.


Works Cited
https://smartasset.com/financial-advisor/coronavirus-stimulus-package
https://www.cpr.org/2020/04/16/coronavirus-stimulus-checks-will-help-pay-rent-bills-and-thats-about-as-far-as-itll-go-for-some-coloradans/