Very few tax increases in original Build Back Better plan will be in final bill: Cantrill
PIMCO Managing Director and Head of Public Policy Libby Cantrill sits down for ‘Barron’s Big Interview’ to discuss the implications of Biden’s spending agenda.
President Biden has pledged to limit child care costs with the passage of his sprawling social spending and climate plan, but a new analysis suggests that millions of middle-class families could actually see their expenses double under the legislation.
The study, published on Friday, was authored by Casey Mulligan, a University of Chicago professor who previously served as chief economist of the White House Council of Economic Advisers during the Trump administration.
BIDEN PITCHES REVAMPED MILLIONAIRES TAX, GLOBAL MINIMUM TO FUND SPENDING BILL
It shows that child care costs could increase by up to 102% – and as much as 122% – for some Americans under Biden's signature economic agenda, which would cap child care costs at no more than 7% of parents' income for those earning their state's median income. Parents are required to be working, searching for a job, in school or dealing with a health issue in order to qualify.
For a family with an infant and a 4-year-old, that could mean an additional annual expense of up to $27,000 unless they qualify for the subsidies in the Democrats' spending bill. About half of families using non-parental child care would fall into that category, according to the analysis.