How refreshing to have a president who actually knows macro-economics.
Trump versus the feckless loser who didn’t even know how the stock market works. He joked that he knew little about mid caps or small caps, and he proved it. Obama bolstered the stock market with $8+ trillion of “quantitative easing”, i.e. counterfeiting the U.S. currency.
I couldn’t find the clip, as YouTube removes anything that embarrasses Baby Black Jesus. But Obama definitely showed that he knew nothing about stocks in that video.
But President Trump needs no fake money to build an economy. Nor does he need a magic wand.
As the saying goes, “This clip didn’t age well for Obama”.
As Forbes reported of Obama.
The Great Recession officially ended in June 2009, six months into former President Obama’s first term. The economy continued to shed jobs until the following March. Manufacturing was particularly hard hit, with almost 2.3 million manufacturing jobs—some 1 in 6—lost between January 2008 and March 2010.
As is the case during recoveries, jobs bounced back, with seasonally adjusted nonfarm employment expanding almost 12% from March 2010 until January 2017, when President Obama handed over the presidency to Donald Trump.
But during the same period, manufacturing employment grew only 7.7% with manufacturing payrolls virtually flat in the last 21 months of the Obama administration.
We were told it was the new normal.
At a town hall in June 2016, President Obama famously said that some manufacturing jobs “are just not going to come back.” He went on to mock then-candidate Trump by saying he’d need a “magic wand” to make good on this manufacturing job promises.
Months later, as the shock of a President-elect Donald Trump was still being absorbed, New York Times columnist and economist Paul Krugman tweeted on November 25, 2016, “Nothing policy can do will bring back those lost jobs. The service sector is the future of work; but nobody wants to hear it.”
President Trump indeed saved Carrier, and the U.S. economy Obama built on quicksand.
In the period when Obama lost millions of manufacturing jobs, President Trump brought back hundreds of thousands.
And he rewarded the companies who invested in America, when Trump declared our country “Open for Business” at the U.N. Those rewards came in the form of tax cuts.
According to Hot Air, those tax cuts paid off…BIG!
47 weeks after Trump put his flamboyant signature on the bill, it’s all happening.
Unemployment is at an historic low. Employment is at an all-time high. Wagers are growing after years of stagnation.
And now from all that increased economic activity, the federal government has just reported historic record tax revenues in October, the first month of the new fiscal year, of $252,692,000,000.
That’s more than $11.4 billion above revenue for October of last year, which was the previous record tax revenue for an October.
And it did this by collecting more than $3 billion less in personal income taxes, thanks to the tax cuts.
So Trump reinforced Reagan’s theory. If corporations thrive, so does the treasury.
The article continues,
The new revenues were the result of increased business taxes because of increased business. Here’s how much different it was:
Corporation income tax receipts to the U.S. Treasury this year in October were a whopping $8,000,000,000. This compares to the previous October’s $3.8 billion.
But the good news ends there. And that’s because we had Paul Ryan as Speaker of the House.
They passed the largest budget in the history of the country, and gave away the farm. Thus we spent more than we made.
Despite the record tax revenues in October, the federal government ran a deficit of $100.5 billion that month because, spending. That’s a problem that newly-elected members of Congress such as Indiana’s senator-elect Mike Braun, a businessman, said would be a major target in 2019.
However, President Trump warned that government must get thinner. Gone are the days of reckless, unaccountable spending.
Moreover, if we can continue to see revenue windfalls like we’ve begun seeing, we might get the economy on a continued path of revival.