Trump,interest rates,recession, tax cuts and the deficit

when trump enacted his tax cut for the rich he said it wouldn’t blow up the deficit becausewe would have 3% growth well into the future,despite pretty much every competent economist saying that was a fantasy
he predicted this growth would occur with 10 year interest rates of 3.2%

well we dont have 3% growth so the deficit is blowing up. now he is saying its jay powell and the feds fault for having interest rates to high. This is despite his administrations forecast that 10 year interest rates would be 3.2% while they are actually about 1/2 that…

its almost as if he is clueless about the economy

Something you have to understand about Trump is that he doesn’t actually know anything about economics. He doesn’t know how interest rates work. He doesn’t know how tariffs work. He doesn’t know how trade deficits work. He doesn’t know what an inverted yield curve is. He doesn’t understand what the Fed does. He doesn’t really know what the national debt is. The list goes one and on.

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laughs in savings

He’s the epitome of the Dunning-Kruger President.

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The fact that he has employed Cocaine Kudlow, who’s only experience in an economic position was cut short due to his inability to keep the white out of his nose, should tell you all you need to know.

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Hmm fantasy?

from United States (USA) GDP - Gross Domestic Product 2020 | countryeconomy.com

What am I missing, it says GDP growth 2018 2.9%, 2019 a little mixed so far, 1st quarter 3.1% 2nd quarter 2.1%. Yes, some economists are predicting a slow down going forward but they remain predictions and haven’t happened yet. His record over six quarters isn’t looking too shabby. For a fantasy.

Trump lovers will forgive their dear-leader for making stuff up.

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So many followers without a set of balls to think for themselves.

The economy is super strong. That’s why we need to cut interest rates, according to Trump.

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FED says otherwise, I’ll go with their assessment instead.

from https://www.cnbc.com/2019/07/10/how-your-money-might-be-affected-if-the-fed-cuts-interest-rates.html

“I see the U.S. outlook as being a positive one,” Powell said Wednesday. “There is nothing really within the U.S. economy that presents a prominent, near-term threat.” There’s no segment or sector that’s “boiling over,” he added, saying the risks are really coming from abroad.

No idea what Trump is thinking. As you imply, if they were giving him the same sort of rates they gave Obama that would mean the economy sucks.

As a percentage of GDP, revenues decreased by about 5%. That means GDP would have to increase every single year at 5%…to break even. Tax cuts do not pay for themselves. They never have. They never will.

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Say what?

Fed revenue

2018 3.33tn
2019 est 3.44tn

Economying is hard!

I think you missed the key operative part of the sentence, “as a percentage of gdp”

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That’s a smaller increase than in previous years when there were no tax cuts.

Oh I didn’t miss it, I just don’t know what the heck it was supposed to mean in the context of federal revenue because there is no way on earth federal revenue dropped by 5% of GDP.

Yes I know, anti-tax cut people always want to have their cake and eat it too. They want to count what the revenue would have been without the tax cut but keep the increased revenue from the larger GDP while they are at it.

Where is your evidence that “the larger GDP” is a result of the tax cut?

Revenue projections prior to tax cuts with more conservative GDP estimates:

2018: 3,531
2019: 3,687

Math is hard. Over $200 billion reduction in revenue. Per year. And growing.

And they should have cut government spending by that amount or more.