With the Covid-19 pandemic, former President Trump signed the bipartisan "Coronavirus stimulus relief bill" to assist tens of millions of households affected by this pandemic. In addition to other measures, the plan included direct payments of $1,200 directly to each adult earning less than $75,000 annually or $150,000 per couple plus $500 for each child; loans to companies to continue paying the salaries of their workers, expansion of coverage for the payment of unemployment pensions to workers licensed because of the coronavirus to include part-time and self-employed workers; changes in payments to student loans; different accounting rules for retirements; money for the health sector, an extension of the deadline for making tax contributions until June; among many other measures that involve a monetary injection or increase in the circulation of money from the economy of 2.2 billion dollars (equivalent to 10% of US GDP!). Subsequently, the current President Biden signed an agreement that reinforced the previous law.

1 What do the Presidents, Congress, and the Fed intend to achieve through these measures? 2 From an economic point of view, what could be expected as a result of these fiscal and monetary decisions? 3 What has apparently been achieved so far with the economic stimulus package? Why? 4 What are the risks of this type of expansionary fiscal policy?

* Present or mention which scenario of the aggregate supply and demand model best illustrates an expansionary fiscal policy such as that described in the topic.