The US used to fear federal spending, but Biden knows the mood has changed

To European eyes, the $2tn infrastructure plan may not be exceptional, but for America it seems revolutionary

From a European perspective, Joe Biden's plans for a $2 trillion boost to spending on infrastructure is not a radical statement of intent. The money will be spread over eight years and raise the federal budget on capital projects by about 1 percentage point a year.

And the US is starting from a very low base. Congress levies federal taxes that amounted to a little more than 16% as a proportion of national income (GDP) in 2019 and the total level of taxes, taking into account state and local charges, is 24.5% of GDP. By way of comparison, the UK's share of tax levied as a percentage of GDP is around 37% and in France it is 46%.