Response to the US Inflation Reduction Act. Summary and recommendations arising from the National Convention's roundtable discussion on the EU held on April 28, 2023 Cover Image

Reakce na americký zákon o snížení inflace. Shrnutí a doporučení vyplývající z diskuze kulatého stolu Národního konventu o EU konaného dne 28. dubna 2023
Response to the US Inflation Reduction Act. Summary and recommendations arising from the National Convention's roundtable discussion on the EU held on April 28, 2023

Author(s): Kateřina Davidová, Tereza Novotna
Subject(s): Economic policy, Financial Markets
Published by: EUROPEUM - Institut pro evropskou politiku
Summary/Abstract: In August 2022, the US Congress passed the Inflation Reduction Act (IRA). This law is a response to the multiple crises of recent years, from the current climate crisis, to the Covid and energy crises, to rising inflation, and together with the adopted CHIPS and Science Act, it continues the trend of protecting the US industrial base against a rapidly expanding China. The core of the law is a massive investment package that has $369 billion available for climate and energy projects over the next ten years, especially in the field of clean technologies. US investment in climate measures will increase from 0.6% of GDP to 1.2% of GDP, and it is expected that the US will reduce its greenhouse gas emissions by 40% by 2030 compared to 2005. In addition, the investment does not have a maximum upper limit, so it is likely that much more money will flow into the clean economy as a result. It is estimated that IRA investments will create 9 million jobs over the next ten years, almost 1 million new jobs per year.

  • Page Count: 8
  • Publication Year: 2023
  • Language: Czech
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