Biden’s Plan to Compete with China and Strengthen Domestic Infrastructure

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Biden recently proposed his post-pandemic plans to jumpstart the economy again: the American Jobs Plan.

The American Jobs Plan includes $2 trillion dollars poured into infrastructure and manufacturing. 21% of Republicans support this plan, while a majority of 87% of Democrats are in favor of the plan.

Proponents of the plan claim that the proposal will help lots of under-developed areas to receive the apt support that it needs for basic living conditions, as there are still many parts of America that live in poor conditions.

On the other end of the spectrum, large businesses argue that mass support from the government will discourage private investment activities from competing and starting their own businesses, thus limiting job opportunities.

There will be partisan clashes on issues like these for years to come. But with this proposed infrastructure plan, the Biden administration has not only decided to shore up domestic issues with infrastructure, but also to compete with China on the global stage. China’s international influence in the world, especially in energy, is a looming threat to the US.

Thus, Biden’s approach to this is to develop domestic infrastructure and invest in up-and-coming technology, like clean energy,ย to fight against the influence of China. China has a strategy of investing in lots of overseas infrastructures in order to gain influence. With this proposal plan, Biden is showing that he is no pushoverย and that he is ready to thwart the advancements and creeping influence that China is starting to have over the world.

Sources: Vox, Cato, BusinessInsider, CNBC

 

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Morgan Tseng

Morgan Tseng is a senior studying Business Economics and Business Information Management at University of California, Irvine. He has a background in research and analytics as he spent a quarter participating in the research of the Development Finance Corporation and its effects on developing countries. He is passionate about the investing landscape today, and the ebb and flow of bull and bear markets. He believes that credibility and ethics are the most important parts in business. In his spare time, he loves to play the guitar and piano.