by James Buchanan
The “recession” also known as the Bush-Obama Depression began in 2007 with the largely minority subprime mortgage crisis. Millions of Blacks and Latinos were being allowed into the home-ownership game without such things as down payments which a federal court in Boston ruled a “racist” restriction. What happens when someone buys a house, the price goes down instead of up and they didn’t put any money down on the house? They walk away from the home loan and let the lender absorb the loss. A fool should have seen this coming, but federal judges aren’t that smart.
Naturally, the blundering incompetent quota-hire president, known as Barack Obama, made things worse, not better. An additional eight million manufacturing jobs were outsourced during his presidency leading to mass unemployment of factory workers that was dubbed “the man-cession.”
The economy finally appears to be pulling out of ten years of malaise. An increasing number of businesses have begun hiring because of what corporations expect from Trump such as a less intrusive government and lower taxes. The removal of the ObamaCare mandate is the biggest albatross to go so far, which had trapped millions of people in 29 hour per week part time jobs.
A Washington Times article reports “In anticipation of across-the-board, revenue neutral tax legislation, U.S. stock markets have shot up to historic gains, signaling that Congress is preparing to shake off eight painful years of economic lethargy under President Obama and shift into a higher, pro-growth gear.”
“The Dow Jones industrial average was nearing 21,000 this week, a level that seemed inconceivable over the past decade, with other indexes rising sharply, too. That also triggered strong advances in Europe as well.”
“Don’t let the Democrats fool you into believing that the stock market’s rise is only benefiting the rich. Millions of middle income Americans whose employers offer IRA’s, 401(k)s and other retirement plans are benefiting as well from the stock market’s surge.”
“Tax reform is still a work in progress on Capitol Hill, but… it will be ready and acted upon sometime in August.”
“And on Thursday morning, Treasury Secretary Steven Mnuchin went on CNBC, the widely-watched business channel, to underscore that tax reductions for businesses large and small, and for all individual taxpayers, remained the administration’s highest priority.”
Trump has stopped the hemorrhaging of jobs due to outsourcing, convincing companies like Carrier and Ford to keep their factories in the United States. It seems clear Trump is serious about his campaign promises and will change things to help the economy.
Changing corporate tax laws so that foreign profits can be brought back to the U.S. without oppressive taxation could put trillions of dollars back into our economy. Under Bush and Obama the government was in a Mexican stand off with big corporations: The government wouldn’t reduce the foreign profits tax rate, and big corporations would not bring those profits back to America. Thankfully Trump is a skillful negotiator instead of a greedy political pig. If trillions of dollars in corporate profits are allowed back into the U.S. economy, we may soon see the economy take off like it did under Ronald Reagan.