Hyperinflationary Policies of Trump

[red viking]

If Trump gets elected, I think you're going to see a perfect storm that will return us to the hyperinflation that he initiated in 2020. Most of the right-wingers are ignorant to this so let me lay it out for you:

1) Deport undocumented workers at a time when we are already at near-full employment. This will simply force employers to pay much more to attract workers for necessary (e.g. agricultural) work and ripple through the rest of the economy. Jacked up wages will simply be passed on to consumers. 

2) Lower income taxes. Just like he did last time. Increases the deficit spending, which is basically money printing.

3) Jack up tariffs. The businesses will merely pass on the costs to consumers and other countries will also continue to jack up tariffs on us in retaliation. 

4) He wants to exert more control over federal workers, such as the Fed Reserve Chairman. Most of us know that he was complaining during his last term about interest rates being too high so it's a fair bet that he'd like to get his own puppet in there and lower rates down to closer to zero. 

 

[Scouts Honor]

that he initiated...lol

how quickly they forget

[Hammerlock3]

you don't know what inflation is...

[Paul158]

On 7/10/2024 at 5:23 PM, Scouts Honor said:

that he initiated...lol

how quickly they forget

I really think Red Viking could use Dr. Phil or maybe Dr. Jill.

[Hammerlock3]

1 hour ago, Paul158 said:

I really think Red Viking could use Dr. Phil or maybe Dr. Jill.

How about a Dr. Jill and Admiral Levine ticket? Could staff the cabinet with unicorns and leprechauns.

[mspart]

Well, RVs analysis is not wrong.   I don't think Trump started inflation, it was in check for a year after he left and after Biden's hyper inflation packages were signed.   Then it took off.   But less cash in and more cash out is not a good premise to work with.   But Trump did spend more with his last Covid thing, but that was kind of necessary if you are going to shut down the economy.   So that probably didn't help.   But I blame Biden for his additional Covid spending and his ridiculous inflation reduction act which let the cobra out of the basket. 

He should reduce taxes, and reduce spending.   Spending could be reduced by 10% and not  many would miss out on anything.   RVs problem is that he equates reducing tax rates with a reduction in revenue.   This is not true.   As I showed in another conversation, revenue pretty much has gone up since 1962 even with tax rates being lowered or highered.   For the economy, it is better that the money stay with the people that produce rather than go to the government which does not produce.   Tax rates incentivize risk taking.   Lower taxes  - higher risk taking by businesses.   Higher taxes - less risk taking by businesses.   Taking risk has the effect of increasing the economy if the risk works out.   Most businesses know the risks but feel that circumstances lower those risks and so they take them.   And that adds to the economy short term and if successful, long term.   There is no downside to that.   There is downside to higher tax rates on the economy.   That's just the plain facts. 

mspart

[TylerDurden]

17 hours ago, mspart said:

Well, RVs analysis is not wrong.   I don't think Trump started inflation, it was in check for a year after he left and after Biden's hyper inflation packages were signed.   Then it took off.   But less cash in and more cash out is not a good premise to work with.   But Trump did spend more with his last Covid thing, but that was kind of necessary if you are going to shut down the economy.   So that probably didn't help.   But I blame Biden for his additional Covid spending and his ridiculous inflation reduction act which let the cobra out of the basket. 

He should reduce taxes, and reduce spending.   Spending could be reduced by 10% and not  many would miss out on anything.   RVs problem is that he equates reducing tax rates with a reduction in revenue.   This is not true.   As I showed in another conversation, revenue pretty much has gone up since 1962 even with tax rates being lowered or highered.   For the economy, it is better that the money stay with the people that produce rather than go to the government which does not produce.   Tax rates incentivize risk taking.   Lower taxes  - higher risk taking by businesses.   Higher taxes - less risk taking by businesses.   Taking risk has the effect of increasing the economy if the risk works out.   Most businesses know the risks but feel that circumstances lower those risks and so they take them.   And that adds to the economy short term and if successful, long term.   There is no downside to that.   There is downside to higher tax rates on the economy.   That's just the plain facts. 

mspart

Inflation was coming regardless of who was president. There were restrictions on domestic and global supply for at least two years, conservatively. Demand was building and both Trump (about $3.2T) and Biden (about $2T) injected more money into the equation. Inflation isn't one a one-sided phenomenon. It takes time for the supply and demand to find a new balance when disruptions occur.  

Obama's average yearly inflation over his two terms was 1.4% and Trump's was a half-point higher at 1.9%. Clinton's was 2.6%. HW was 4.3%. Over the last 13 presidents, five of the top seven highest yearly average rates of inflation have been under Republican presidents. https://www.investopedia.com/us-inflation-rate-by-president-8546447