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Want to grow the economy? Wear a mask, federal reserve president says

Dallas Federal Reserve President Robert Kaplan said wearing a mask can save the economy

SHARE Want to grow the economy? Wear a mask, federal reserve president says
People wear masks as they walk on Main Street in Salt Lake City on Wednesday, June 24, 2020.

People wear masks as they walk on Main Street in Salt Lake City on Wednesday, June 24, 2020.

Steve Griffin, Deseret News

Dallas Federal Reserve President Robert Kaplan told Fox Business this week that wearing a mask may be the key to saving the U.S. economy.

Kaplan told Fox Business that wearing a mask can help stop the spread of the coronavirus, which has been surging across the country.

Too much of a spread could hurt the progress the country has made in reopening, especially if governors and local leaders reinstitute lockdowns, which hit the country back in March, according to The New York Times.

But wearing a mask could help the economy.

“The main message I’d have today about the economy from here and how to grow it probably has to do with managing this virus. While monetary and fiscal policy are very important, they’re not as important right now as us doing a good job flattening the curve on this virus. If we do that, we’ll grow faster.”

Kaplan said “the primary economic policy from here is broad mask-wearing and good education of the health care protocols.”

“If we all wore a mask, it would substantially mute the transmission of this disease and we would grow faster,” he added. “We would have a lower unemployment rate ... and we would be less likely to slow more of our reopenings.”

Similarly, economists from Goldman Sachs said a national mask mandate could boost the changes of the country’s economy recovering quicker, The New York Times reports.

The Federal Reserve has added programs to provide $2.3 trillion in liquidity and lending to keep the interest rates low, CNBC reports.

Similarly, Congress provided a $2 trillion in rescue funds. A second package is still in talks to happen, according to CNBC.