Bill Overview
Title: Stop Onerous Surcharges Act
Description: This bill requires U.S. representatives to the International Monetary Fund (IMF) to advocate and vote for an immediate review of the IMF's surcharge policies and a suspension of such surcharges while the review is underway.
Sponsors: Rep. Garcia, Jesus G. "Chuy" [D-IL-4]
Target Audience
Population: People in countries indebted to the IMF impacted by surcharge policies
Estimated Size: 10000
- IMF surcharge policies primarily affect countries that are in debt and are being charged additional fees on top of interest rates.
- Countries most likely to be affected are those with significant borrowings from the IMF, often in developing regions.
- Suspending these surcharges can affect the fiscal abilities and debt repayment plans of these countries.
- Citizens of these debtor nations could experience relief in terms of public spending capabilities as governments might have more budgetary room without extra financial burdens.
Reasoning
- The policy is specific to international finance and advocates changes at the IMF regarding surcharge policies, which directly impact debtor countries, not directly the U.S. populace.
- The U.S. population might indirectly feel changes due to economic shifts or international relations adjustments, especially those involved in business or trade with IMF debtor countries.
- Direct effects on Americans are mainly for those with specific interests in affected countries, such as businesspeople or people with family ties.
- The policy is budget-limited, focusing on diplomatic efforts rather than direct financial aid or programs within the U.S.
- The targeted population within the U.S., based on American interests, is relatively small, aligned with individuals involved in international finance or business. Thus, effects are minimal and primarily indirect for most citizens.
Simulated Interviews
International Finance Analyst (New York, NY)
Age: 45 | Gender: male
Wellbeing Before Policy: 8
Duration of Impact: 3.0 years
Commonness: 2/20
Statement of Opinion:
- The surcharges by the IMF are a significant burden on economies trying to stabilize. This review is necessary but having U.S. representatives push for it is more symbolic and indirect in impact.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 8 | 8 |
| Year 2 | 9 | 8 |
| Year 3 | 9 | 8 |
| Year 5 | 9 | 8 |
| Year 10 | 8 | 7 |
| Year 20 | 7 | 6 |
Tech Entrepreneur (Los Angeles, CA)
Age: 30 | Gender: female
Wellbeing Before Policy: 7
Duration of Impact: 5.0 years
Commonness: 3/20
Statement of Opinion:
- I've invested in a start-up in a country paying these IMF surcharges. If they can redirect their resources, it might boost their growth, which is great for me.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 8 | 7 |
| Year 2 | 8 | 7 |
| Year 3 | 8 | 8 |
| Year 5 | 9 | 8 |
| Year 10 | 8 | 7 |
| Year 20 | 8 | 7 |
University Student (Denver, CO)
Age: 22 | Gender: other
Wellbeing Before Policy: 6
Duration of Impact: 0.0 years
Commonness: 5/20
Statement of Opinion:
- It's crucial to address international financial fairness. While this doesn't impact me directly, it aligns with my belief in equitable global policies.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 6 |
| Year 2 | 6 | 6 |
| Year 3 | 6 | 6 |
| Year 5 | 6 | 6 |
| Year 10 | 6 | 6 |
| Year 20 | 6 | 6 |
Oil Industry Executive (Houston, TX)
Age: 55 | Gender: male
Wellbeing Before Policy: 7
Duration of Impact: 10.0 years
Commonness: 2/20
Statement of Opinion:
- This could reduce funding allocated to essential infrastructure projects in countries I'm involved with, potentially changing business dynamics favorably.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 8 | 7 |
| Year 2 | 8 | 7 |
| Year 3 | 7 | 7 |
| Year 5 | 7 | 7 |
| Year 10 | 7 | 6 |
| Year 20 | 6 | 6 |
NGO Worker focusing on Latin America (Miami, FL)
Age: 40 | Gender: female
Wellbeing Before Policy: 5
Duration of Impact: 10.0 years
Commonness: 3/20
Statement of Opinion:
- A move towards suspending IMF surcharges helps free up national resources for using in healthcare and education.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 5 |
| Year 2 | 7 | 5 |
| Year 3 | 8 | 5 |
| Year 5 | 8 | 5 |
| Year 10 | 7 | 5 |
| Year 20 | 6 | 5 |
Policy Advisor (Washington, DC)
Age: 63 | Gender: male
Wellbeing Before Policy: 6
Duration of Impact: 0.0 years
Commonness: 3/20
Statement of Opinion:
- While this is a step in the right direction diplomatically, its direct impact on the U.S. is minimal beyond international relations.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 6 |
| Year 2 | 6 | 6 |
| Year 3 | 6 | 6 |
| Year 5 | 6 | 6 |
| Year 10 | 6 | 6 |
| Year 20 | 6 | 6 |
Freelance Journalist (San Francisco, CA)
Age: 28 | Gender: female
Wellbeing Before Policy: 6
Duration of Impact: 2.0 years
Commonness: 4/20
Statement of Opinion:
- It's interesting to see the U.S. take more responsibility in international financial fairness; however, direct benefits within the U.S. will be limited.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 6 |
| Year 2 | 7 | 6 |
| Year 3 | 6 | 6 |
| Year 5 | 6 | 6 |
| Year 10 | 5 | 5 |
| Year 20 | 5 | 5 |
International Trade Specialist (Chicago, IL)
Age: 36 | Gender: female
Wellbeing Before Policy: 7
Duration of Impact: 5.0 years
Commonness: 4/20
Statement of Opinion:
- If my client nations are less encumbered by surcharges, their purchasing power might increase, benefiting trade.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 8 | 7 |
| Year 2 | 8 | 7 |
| Year 3 | 9 | 7 |
| Year 5 | 8 | 7 |
| Year 10 | 8 | 7 |
| Year 20 | 7 | 7 |
Tech Consultant (Seattle, WA)
Age: 47 | Gender: male
Wellbeing Before Policy: 8
Duration of Impact: 3.0 years
Commonness: 5/20
Statement of Opinion:
- While my day-to-day life won't change, those in countries burdened by debt could benefit. It might indirectly make my services more affordable in those regions.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 8 | 8 |
| Year 2 | 8 | 8 |
| Year 3 | 8 | 8 |
| Year 5 | 8 | 8 |
| Year 10 | 8 | 8 |
| Year 20 | 8 | 8 |
Manufacturing Manager (Detroit, MI)
Age: 50 | Gender: female
Wellbeing Before Policy: 6
Duration of Impact: 10.0 years
Commonness: 3/20
Statement of Opinion:
- Reducing financial pressures on client countries would allow them to order more, likely benefiting my business indirectly in the long term.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 6 |
| Year 2 | 7 | 6 |
| Year 3 | 7 | 6 |
| Year 5 | 7 | 6 |
| Year 10 | 6 | 6 |
| Year 20 | 6 | 6 |
Cost Estimates
Year 1: $5000000 (Low: $3000000, High: $9000000)
Year 2: $5000000 (Low: $3000000, High: $9000000)
Year 3: $5000000 (Low: $3000000, High: $9000000)
Year 5: $5000000 (Low: $3000000, High: $9000000)
Year 10: $5000000 (Low: $3000000, High: $9000000)
Year 100: $5000000 (Low: $3000000, High: $9000000)
Key Considerations
- The policy involves U.S. advocacy at the IMF rather than domestic actions.
- Direct U.S. fiscal impacts are minimal but global economic stability improvements could indirectly benefit U.S. interests.
- Suspending IMF surcharges could stabilize debtor countries' economies, decreasing the likelihood of financial crises requiring costly bailouts.