As we documented in Part 1, the watchword here is massive, insensible overkill. The $5.94 trillion of Everything Bailouts represents 7.3X the most generous definition of the GDP-based hole in America’s economic bucket ($815 billion); and it comes at a time when the gap has nearly closed—with the Q4 2020 shortfall computing to just 1.2% of the pre-Covid benchmark.
Still, that’s not the half of it. During the current quarter nominal GDP will readily exceed the level of Q4 2019, and that’s just the aggregate of everything.
In fact, extensive sectors of the US economy hardly missed a beat during the Lockdowns, while the boot heel of the Virus Patrol came down brutally on low-income workers in the leisure, hospitality, retail, personal service and small business sectors of the economy.