'Trump Lawsuits and COVID-19 Spread'... Biden Faces Thorny Path from Transition Start

Trump Predicts Legal Battle Until the End
US COVID-19 Cases Exceed 100,000 Daily
No Plan to Stay in Power Without Trump’s Cooperation
Economic Crisis Urgent...Republican-Led Senate Watching Closely

[Asia Economy New York=Correspondent Baek Jong-min] Joe Biden, the Democratic presidential candidate of the United States, has officially begun preparations for taking office. After opening the transition committee website, he received briefings on the novel coronavirus disease (COVID-19) and the economic situation.

However, political uncertainty is intensifying as President Donald Trump claims election fraud and files lawsuits related to the election. If the economy is also affected by the resurgence of COVID-19, the Biden administration is expected to face difficulties even in taking its first steps.

[Image source=Reuters Yonhap News]

On the 5th (local time), Biden was spotted traveling with Vice Presidential candidate Kamala Harris in Wilmington, Delaware, where he resides. His unexpected movement attracted media attention. The campaign explained that Biden moved to receive briefings from experts on the economic situation related to COVID-19.

CNN described Biden’s actions as "a very natural step amid the worsening COVID-19 situation." On that day, Johns Hopkins University reported 102,831 new COVID-19 cases in the U.S. the previous day. This was the first time daily new COVID-19 cases in the U.S. exceeded 100,000. This occurred less than a week after the previous record of 99,300 cases on October 30.

The worsening COVID-19 crisis, which had been temporarily overshadowed by the chaos of the U.S. presidential election, is a top priority that Biden must address immediately upon taking office. Especially serious is the infection situation in key battleground states that supported him in this election. According to Johns Hopkins University’s data that day, new cases in northern "Rust Belt" battleground states such as Wisconsin and Michigan surged to record highs. Failure to contain the spread in these areas could disappoint the supporters who backed him from the start of his administration.

On the same day, Biden tweeted, "No one will take our democracy away from us," adding, "America has come too far, fought too many battles, and endured too much to let that happen." This tweet was posted shortly after President Trump held a press conference at the White House that evening, claiming, "The election is being rigged. I win unless the Democrats steal the election." While addressing the most serious issue of COVID-19, Biden also appeared to check President Trump politically.

The economic situation is also urgent. Although the U.S. recorded a historic annualized economic growth rate of 33.1% in the third quarter, additional stimulus measures are stalled, making the outlook for the fourth quarter and even the first quarter of next year uncertain.

On the same day, Jerome Powell, Chair of the Federal Reserve, expressed that the recent surge in COVID-19 cases is "particularly concerning." Powell made these remarks during a virtual press conference following the Federal Open Market Committee’s (FOMC) decision to maintain the 'zero interest rate' policy, stating, "The economic outlook is unusually uncertain."

The employment data released that day added to concerns. The Department of Labor reported 751,000 new unemployment claims. Although this marked a third consecutive week of decline, the decrease was only 7,000 from the previous week's 758,000 and exceeded the market expectation of 735,000. The Washington Post noted that 21.5 million people are receiving unemployment benefits, warning that the U.S. unemployment rate remains at a crisis level.

Chris Rupkey, Chief Financial Economist at MUFG Union Bank, expressed concern, saying, "Uncertainty about the election is disappearing, but employment uncertainty remains high."

The conditions surrounding Biden are thus negative. Furthermore, it seems difficult for the Democrats to secure a Senate majority as expected. Biden is likely to be hampered by the Republican-controlled Senate, facing political attacks without being able to implement key policies.

There are also expectations that, for the sake of cooperation, Republicans might be appointed to the cabinet, but this could increase dissatisfaction among the radical left-wing members of the Democratic Party who supported Biden’s election.

A more serious problem is that there is effectively a government vacuum until the new president’s term begins on January 20 next year. It is assessed that President Trump, focusing on lawsuits, is unlikely to use the remainder of his term to address COVID-19 or economic measures.

This content was produced with the assistance of AI translation services.