President Joe Biden’s Covid aid plan is making its way through Congress.
The $ 1.9 trillion bill includes money for a variety of programs, including increased unemployment benefits, vaccination efforts and $ 1,400 incentive checks.
Direct payments alone will cost more than $ 400 billion.
Financing new aid spending involves an interesting way to borrow and figuratively print money, according to Sahil Bloom, financial educator and vice president at Altamont Capital Partners.
Bloom said the government can create money without actually printing physical currency. “We live in a digital age. So really money is just numbers on a screen,” he said.
The company involves three key players: Congress, the Treasury Department and the Federal Reserve. Watch this video to see who “clicks the button” and how the process can be reversed.
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Disclosure: NBCUniversal and Comcast Ventures are investors in acorns.