Donald Trump and Republicans in Congress keep crowing about the economy, when in reality Trumponomics has been a disaster. Here are its 7 biggest failures:
1. Trump promised to bring down America’s trade deficit “as fast as possible.” Instead, the trade deficit has hit an all-time high. The United States is now purchasing more goods and services from the rest of the world than we sell abroad than at any time in history.
2. As a presidential candidate in 2016, he said he could completely eliminate the federal debt in 8 years. Instead, the federal debt has exploded thanksto Trump and the GOP’s $1.9 trillion tax cuts for the wealthy and corporations. They’re already using the growing debt to threaten cuts to Social Security, Medicare, and Medicaid.
3. He promised to boost the wages of American workers, including a $4,000 pay raise for the average American family. Instead, wages for most Americans have been flat, adjusted for inflation. Meanwhile, over the same period, corporate profits have soared and the rich have become far richer, but the gains haven’t trickled down.
4. His administration said that corporations would invest their savings from tax cuts. Instead, corporations spent more money buying back shares of their own stock in 2018 than they invested in new equipment or facilities. These stock buybacks provide no real benefit for the economy, but boost executive bonuses and payouts for wealthy investors.
6. He promised to keep jobs in America and crack down on companies that ship jobs overseas. Instead, his tax law has created financial incentives for corporations to expand their operations abroad. Trump’s trade wars have also encouraged companies like Harley Davidson to move production overseas.
7. He promised to “drain the swamp” of Washington lobbyists. Instead, he’s put them in charge of health, safety, and environmental protections–which has endangered most Americans while increasing corporate profits even further.
The real recipe for economic growth is to invest in Americans–in their health, education, job training, and infrastructure.
But Trumponomics has exploded the deficit, hurt ordinary Americans, and lined the pockets of the wealthy and corporations.
Don’t let Trump and Republicans claim otherwise.
Jared Diamond believes America is ruining itself in 4 different ways
Diamond has been elected to the American Academy of Arts and Sciences, the American Philosophical Society, and the National Academy of Sciences. He has been awarded a MacArthur Foundation Fellowship as well as the National Medal of Science. His bestselling book "Guns, Germs and Steel" won the Pulitzer Prize.
How the New York Times creates credibility for Trump
There’s a good reason why the Times decided against running on its front page news of the latest woman to accuse the president of rape. The Times still does journalism the way it always has. It gives people in power the never-ending benefit of the doubt.
When you are willing to give people in power the benefit of the doubt no matter how many times they have proven they are unworthy of that benefit, it’s not all that important when the 16th person comes forward credibly to accuse Donald Trump of anything, even if, in the case of columnist E. Jean Carroll, the allegation is rape.
This irrational self-deception is what prevents many economists from embracing a Green New Deal
Dutch economist Servaas Storm, co- author of a widely-read 2018 study on climate change, “Why Green Growth is an Illusion,” talks to the Institute for New Economic Thinking about where we are today.
Lynn Parramore: In 2018, you and your colleague Enno Schröder warned that economists promoting “green growth” are fostering illusions. Why can’t we have economic growth and development without destroying the planet?
Servaas Storm: In our work, Enno Schröder and I look at the historical record on economic growth around the world, along with human energy use and the resulting CO2 emissions. Then we construct a growth path for the global economy during the period 2015-2050. Our model path is based on optimistic, but still feasible, assumptions concerning future energy efficiency improvements and reductions in carbon emissions.