Goldman Sees Relief Bill at $1.5 Trillion, Boosts GDP Estimate

Goldman Sachs Group Inc. economists boosted their forecast for the eventual bill that Congress enacts in the wake of President Joe Biden’s call for $1.9 trillion in Covid-19 relief spending, and lifted their projection for U.S. economic growth.

Goldman chief economist Jan Hatzius and his colleagues said that additional fiscal measures are likely to be valued at $1.5 trillion, after previously estimating $1.1 trillion. They also bumped their GDP forecast for the second quarter to 11%. On an annual basis, they increased their forecasts for 2021 and 2022 growth by 0.2 percentage points each, to 6.8% and 4.5%, respectively.