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Academic Journal of Business & Management, 2021, 3(10); doi: 10.25236/AJBM.2021.031003.

The Impact of the U.S. Rescue Plan on the Global Economy—Based on Input-output Method


Zhida Zhang

Corresponding Author:
Zhida Zhang

School of Economics, University of Chinese Academy of Social Sciences, Beijing 102488, China


The emergence of the new crown epidemic has impacted the global economy, and the United States, which is affected by the “herd immunity” policy, is no exception. GDP in 2020 has fallen by 2.3% year-on-year. After Democrat Bi came to power, in order to restore the US economy, he proposed and finally passed the US$1.94 trillion "U.S. Rescue Plan." This article sorts out the original text of the plan and compares it with ISIC4.0's industry categories, and then discusses the three transmission mechanisms of the plan's impact on the global economy. And using the input-output data in WIOD, the global input-output model is used to calculate its impact on the total output and GDP of countries and industries in the world. Studies have found that the US rescue plan has a significant impact on countries that have a large total trade volume with the United States, and has a greater impact on the global public health industry.


American Rescue Plan, Global Economy, Input-output Method

Cite This Paper

Zhida Zhang. The Impact of the U.S. Rescue Plan on the Global Economy—Based on Input-output Method. Academic Journal of Business & Management (2021) Vol. 3, Issue 10: 16-22. https://doi.org/10.25236/AJBM.2021.031003.


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