President-elect Barack Obama will propose an economic-stimulus package focused on infrastructure shortly after he is inaugurated, Bloomberg reported Tuesday.
The package could be three times larger than the $175 billion plan Obama proposed during the presidential campaign, aides said. That proposal included spending for roads, bridges and aid to state governments, among other efforts, Bloomberg reported.
Such a spending package would be designed to both create jobs and fuel economic growth, Bloomberg said. This is in contrast to the $168 billion stimulus package passed in February, which focused on tax rebates.
Many Democrats said money should be used to jumpstart federal infrastructure projects to create jobs and fuel economic growth.
One Obama economic adviser said the program may be used to finance highway projects, alternative-energy initiatives, tax cuts, education programs and aid to state governments struggling to balance their budgets, Bloomberg reported.
Republicans such as Sen. Judd Gregg of New Hampshire, the ranking Republican on the Budget Committee, agree with Obama’s plan, telling Bloomberg that economists in both parties have reached a consensus in support of the proposed spending.
