Janet Yellen’s testimony before the Senate, how JPMorgan sees stimulus affecting unemployment, potential changes to the housing industry, how the COVID-19 pandemic has affected bicycles and startups, and a pitch for recreational marijuana taxation in Connecticut are some of the items in business news this morning.
National
In her confirmation hearing before the Senate Finance Committee, Treasury Secretary nominee Janet Yellen advocated for the United States to take a firm stance on China while also voicing her support for investments in infrastructure and clean energy. Yellen has won the endorsement of eight former Treasury Secretaries.
The chief global strategist at JPMorgan Funds suggests that a major stimulus package could cut unemployment to 5 percent by the year-end, down from the 6.7 percent level at the end of 2020. The simulation used a figure of $1.5 trillion rather than the $1.9 trillion proposal Biden is pitching.
President-elect Joe Biden, who takes office today, is looking to assist both homebuyers and the home construction industry through tax credits, reduced premiums, and other policies. It is anticipated that Biden will lift certain trade and immigration restrictions that strained home builders while also looking to encourage multifamily home construction and ease some rules for single-family home construction.
Business trends
The COVID-19 pandemic prompted a surge of demand for bicycles, and bicycle companies have joined to form the Cycling Marketing Board to capitalize on this interest. The board aims to attract new customers to the sport and help diversify its image.
A Forbes Council Post analyzes the factors behind a boom in startups during the pandemic. A shift in consumer priorities and new market opportunities have opened up plenty of options for entrepreneurs to meet new demand.
Connecticut
Governor Ned Lamont is floating a bill on the taxation of marijuana for recreational use in Connecticut. The proposal establishes tax rates as well as a revenue sharing split with municipalities, with a goal of collecting taxes on recreational marijuana sales by mid-2022.
