Federal Reserve Chairman Jerome Powell and Treasury Secretary Steven Mnuchin were grilled by lawmakers via video conference today about how they're implementing the $2.2 trillion coronavirus rescue package.
Both leaders defended the administration's efforts to revive the economy, with Mnuchin saying, "The country will emerge from the pandemic stronger than ever."
Here’s what you missed from the Senate hearing:
Country’s economic recovery still uncertain: While the unprecedented steps taken by the government to shut down parts of the economy has led to soaring unemployment over the past two months, Mnuchin told senators that he expects economic conditions will improve in the third and fourth quarters of this year. Mnuchin did warn that as shutdowns continue, "There is risk of permanent damage."
Powell also noted possible obstacles to recovery, saying that state and local governments have laid off about 1 million workers because of the coronavirus crisis, which will likely weigh on the nation's economy.
Powell reiterated that the Federal Reserve will take more action if the economy isn't rebounding as well as it would like.
Issues surrounding company loans continue: Both Powell and Mnuchin said that they are working on issues on how some companies that need loans are falling through the cracks. "If there are companies that slipped through, [Powell] and I will work together to make sure they have funding," Mnuchin said.
Powell noted that some of the lending facilities have only just come online, so the amount that has gone out to support some businesses is "pretty limited."
Main Street loan program likely to be ready by end of month: Powell said that the program meant to lend billions of dollars to small- and mid-sized businesses should be ready to launch by the end of the month, amid complaints the money has been too slow to reach the public.
Testy exchange about reopening: In an exchange between Sen. Sherrod Brown, a ranking member on the committee, and Mnuchin, Brown asked why the Trump administration is so eager to send employees back to work during uncertain times.
"How many workers should give their lives to increase the GDP or the Dow by 1,000 points?" Brown, a Democrat, asked.
"No workers should give their lives to do that, Senator, and I think your characterization is unfair," Mnuchin said.
See the moment: