Following days of meetings, White House officials and senior members of the Democratic Party are hopeful of reaching a Coronavirus Aid agreement by the end of this week.

House Leader Nancy Pelosi and Minority Senate Leader Chuck Schumer have engaged in daily face-to-face meetings with Treasury Secretary Steven Mnuchin since the 27^th of July.

In a statement on Tuesday evening, Mnuchin told reporters that he and Democratic lawmakers are aiming for an agreement by Friday, with the hope of passing legislation next week. Mnuchin is optimistic although he did note that there are still “a lot of open issues” between Democratic leaders, the Republican Senate, and President Trump’s White House.

Differences Between Republican and Democratic Approach to Coronavirus Aid

The Democratic House introduced a Bill in May that would cost as much as $3.4 trillion between now and 2030. It would cover a second $1,200 payment to households during the health crisis, as well as a federal subsidy of up to $600 per week on top of state unemployment benefits.

Republicans aren’t willing to cover the $600 per week, with many in the party saying that it incentivizes people to stay home and avoid looking for work. It has been suggested that Congress instead passes a law that will allow up to a 70% subsidy to cover wages lost during the Coronavirus Pandemic.

Some areas of the aid package are well-aligned on both sides of the political spectrum. Republicans and Democrats want to extend the Paycheck Protection Program, offering loans to businesses that lose significant revenue during the crisis. The loans would be used to cover worker wages, to keep more Americans in their jobs.

More than 26 million have lost their jobs or been furloughed this year.

Bipartisan Compromise Needed to Drive Economic Recovery

With sweeping job losses, state lockdowns, and a decline in global trade leading to an economic slowdown, the nation is now officially in a recession. The gross domestic product could contract by as much as 7% this year. This follows what was the longest period of economic expansion in America’s history.

Bipartisan compromise will be essential to prop up the economy and support all Americans. The government’s deficit will expand, but this is necessary to ensure that families can meet their financial obligations and recover from this unprecedented situation.