Trump Tax Cuts and the Economy: Time Will Tell, Maybe
- 6 years ago
Trump Tax Cuts and the Economy: Time Will Tell, Maybe
“Now we may be starting to see it.”
Much the same can be said about unemployment, which fell to 4.1 percent from 4.7 percent during Mr. Trump’s first year as president,
and which also reflects the tight labor market conditions that have been developing for years.
Gross domestic product grew by 2.3 percent last year, lower than Mr. Trump’s predictions of 3-plus percent,
but significantly better than the 1.6 percent growth in 2016, Mr. Obama’s last year in office.
Still, if United States economic growth hits Chinese levels of 7 percent a year or more, which Mr. Trump repeatedly has said
is attainable, then Republicans will have a “much stronger” basis for claiming credit for it, Professor Slemrod said.
• “Over 3 million workers have gotten tax-cut bonuses” and “rising wages.”
• All thanks to “the biggest tax cuts and reforms in American history.”
Since the president has frequently complained that the media denies him credit for any of this, I thought it only fair to assess the degree to which the undeniably strong economy, low unemployment
and surging stock market are because of Mr. Trump’s achievements, notably his sweeping tax bill.
“The labor market was strengthening long before Mr. Trump was elected or the tax bill was passed,” Professor Slemrod said.
500 index rose 23 percent during Mr. Trump’s first year in office, an increase surpassed only by Franklin Roosevelt
and Barack Obama, both Democrats who took office in the wake of financial crises and stock market crashes.
“Now we may be starting to see it.”
Much the same can be said about unemployment, which fell to 4.1 percent from 4.7 percent during Mr. Trump’s first year as president,
and which also reflects the tight labor market conditions that have been developing for years.
Gross domestic product grew by 2.3 percent last year, lower than Mr. Trump’s predictions of 3-plus percent,
but significantly better than the 1.6 percent growth in 2016, Mr. Obama’s last year in office.
Still, if United States economic growth hits Chinese levels of 7 percent a year or more, which Mr. Trump repeatedly has said
is attainable, then Republicans will have a “much stronger” basis for claiming credit for it, Professor Slemrod said.
• “Over 3 million workers have gotten tax-cut bonuses” and “rising wages.”
• All thanks to “the biggest tax cuts and reforms in American history.”
Since the president has frequently complained that the media denies him credit for any of this, I thought it only fair to assess the degree to which the undeniably strong economy, low unemployment
and surging stock market are because of Mr. Trump’s achievements, notably his sweeping tax bill.
“The labor market was strengthening long before Mr. Trump was elected or the tax bill was passed,” Professor Slemrod said.
500 index rose 23 percent during Mr. Trump’s first year in office, an increase surpassed only by Franklin Roosevelt
and Barack Obama, both Democrats who took office in the wake of financial crises and stock market crashes.