On Monday, the Washington Post reported that President Donald Trump’s team is frantically considering a payroll tax cut to boost consumer spending, amid gloomy market signs and concern among Wall Street analysts that the risk of a recession is rising.
But it appears that Trump’s Republican allies in Congress are not on board with this idea. Sen. Chuck Grassley (R-IA), the chairman of the Senate Finance Committee, has articulated that he hasn’t talked about the matter with Trump — and that fears of a recession are premature.
Statement from spox for Senate Finance Committee Chairman Chuck Grassley re: payroll tax cut
“Chairman Grassley has not discussed a potential payroll tax cut with the Administration. At this point, recession seems more of a political wish by Democrats than an economic reality.”
— Colin Wilhelm (@colinwilhelm) August 19, 2019
It remains to be seen whether the current economic fears have merit. But the president seems to believe they do — and he now has to convince his fellow Republicans to help him head it off.