Biden Debuts New Four Point Economic Plan During State of the Union Speech

On Tuesday, March 1, President Joe Biden presented his administration’s progress after nearly 14 months in office. He focused on discussing his simplified economic recovery plan and expressing his solidarity with the Ukrainian people.


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Joe Biden promises to continue providing assistance to Ukraine through the form of economic sanctions along with NATO. “Together, along with our allies, we are right now enforcing powerful economic sanctions,” Biden said.

Nanaki Bawa, Managing Editor

On March 1, President Joe Biden addressed the nation for his first State of Union speech. In the wake of the Russian invasion in Ukraine, Biden commended Ukrainian President Volodymyr Zelenskyy and the Ukrainian people for their courage and strength against Putin and expressed his commitment to unifying the western countries and imposing economic sanctions against Russia.

Biden also provided updates on his Build Back Better plan, which was passed in the House on Nov. 19, but continues to face debates on the Senate floor. During his 72 minute speech, Biden did not directly mention “Build Back Better” once, but repeatedly mentioned his plan to “rebuild America” and “build the economy.” He debuted a four-point economic plan which had many similarities to Build Back Better and focused on the same goal of lowering inflation and providing middle class families with more benefits at lower costs. “One way to fight inflation is to drive down wages and make Americans poorer,” Biden said. “I think I have a better idea to fight inflation. Lower your cost, not your wages.”

Specifically, Biden cites creating more “infrastructure and innovation in America,” increasing the number of jobs, lowering the cost of and producing more American-made goods. He detailed four main steps in his plan: lowering the cost of prescription drugs, decreasing energy and childcare expenses, increasing the return of schools and businesses to normal life, and boosting vaccination rates in the U.S. and around the world.

To increase access to prescription drugs, Biden hopes to significantly lower the costs by “closing the coverage gap.” The American Rescue Plan, also known as the COVID-19 Stimulus Package, has helped and is helping “millions of families” to receive healthcare by reducing the costs by $2,400 a year, which Biden hopes to continue.

In regards to decreasing the amount of energy expended, Biden plans to provide investment tax credits to make homes and businesses energy efficient; the increased use of solar and wind energy as well as a decrease in cost of electric-powered vehicles.

Along the same lines, Biden said that he will decrease the annual $14,000 that families living in cities pay for child care, which is specifically aimed to help women who left their jobs early in the pandemic. He also promised universal pre-K, a decreased cost of caregiving for seniors, and affordable housing, all goals that were outlined in the Build Back Better legislation.

Finally, Biden reemphasized his goal to provide vaccines to countries in need. According to Biden, the U.S. has 475 million vaccines for more than 112 countries. He also used the chance to address the increased division among party politics by reminding Americans of their shared identity. “Stop looking at Covid as a partisan dividing line,” Biden said. “See it for what it is: a God-awful disease. Let’s stop seeing each other as enemies, and start seeing each other for who we are: fellow Americans.”