States might have been ‘overexuberant’ in reopening, Kudlow says

Top White House economic adviser Larry Kudlow said Thursday that some states might have been “overexuberant” in reopening the economies and supported the idea of establishments temporarily closing to help slow the spread of the coronavirus.

“I think some places might have been overexuberant and now have to come back and get back to these best practices of social distancing and the masks and testing,” he said, adding that “if you have to phase-out bars, so be it, for a few weeks.”

Kudlow’s words come on the heels of coronavirus infections spiking in certain parts of the country.

Arizona recorded nearly 4,878 new cases and 88 new deaths Wednesday, a record single-day jump for the state. Texas health officials reported 57 new deaths Wednesday, the most since May 14, when the state set a record with 58 daily deaths. And in California, 107 deaths due to COVID-19 were reported Tuesday, the first time the daily death toll has surpassed 100 since June 10.

Kudlow appeared in the White House press room with Treasury Secretary Steven Mnuchin, who said that it was appropriate for certain states to pause the reopening of their economies.

“I’d say that the states are appropriately pausing certain things, like bars and gyms, which obviously are the more contagious types of things, and I think the states are acting appropriately,” he said, adding, “We are encouraging Americans to wear masks.”

The Treasury secretary also said that he has had discussions with lawmakers about the next stimulus bill but didn’t have a dollar figure for what it should cost.

“I think it’s too early to tell [regarding the bill’s cost], and that’s the reason why we’re waiting. We spent an unprecedented about of money … $3 trillion. That’s an extraordinary amount of money. A lot of that money is not in the economy yet,” he said.

When asked about the details of the bill, Mnuchin seemed optimistic about another round of payments to Americans. He also said that funding to state and local governments was being considered.

The Senate is expected to approve another coronavirus relief package by the end of the month. The House acted in May on its last package.

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