Two important pieces of legislation were recently passed into law. The CHIPs Act allocates billions in federal dollars and tax incentives to domestically manufacture critical semiconductors, thus narrowing a major strategic vulnerability. The Inflation Reduction Act (IRA) is much larger and focuses on climate remediation, healthcare costs, and levies some new corporate taxes.
Though each address very important long-term issues, we do not see either as having a material influence on near-term investment opportunities.
In this report, we provide a high-level overview of each piece of legislation.
Read the full report.