Stimulus Package
A stimulus package is an economic policy implemented by governments to stimulate their economies during a recession or other period of slow economic growth. Stimulus packages usually involve the use of fiscal and monetary policies, such as tax cuts, additional spending on public works projects, subsidies and loan guarantees. Governments may also offer incentives to businesses in order to encourage investment and hiring.
The coronavirus pandemic has sparked widespread debate about how governments should respond with stimulus packages in order to help their citizens cope with the economic impact of the crisis. In March 2020, for example, the United States government passed a $2 trillion relief package – known as the CARES Act – which includes direct payments to individuals, expanded unemployment benefits and loans for small businesses affected by COVID-19. The European Union has also proposed its own €750 billion recovery fund in response to the pandemic’s effects on its economy.
Cryptocurrencies have become increasingly popular since their inception around 10 years ago due to their decentralized nature and potential for global acceptance without reliance on traditional banking networks or governmental control over money supply levels . As such , many users are now turning towards cryptocurrency as an alternative asset class when it comes time to invest during times of economic uncertainty . While cryptocurrencies are not explicitly included within most stimulus packages , they can still be seen as offering some degree of protection against financial shocks through increased diversification outside traditional markets . This is especially true given that digital currencies do not rely on any single country’s currency strength or stability ; rather , they are based upon a global network consensus algorithm that is designed specifically so that no one entity can manipulate prices artificially . Additionally , many major central banks have already expressed support for investing in digital assets this year – including those from Japan , China , Canada and Singapore – making them an attractive option for investors seeking both security from volatility throughout these uncertain times .
