Wednesday, February 5, 2020

TRUMPERnomics - Trump did not 'lifte people of welfare'. He singled off the poor and cut them off to offset tax cuts for the rich! “The remarkable thing is how weak wages are, how weak the economy is, given that as a result of the tax bill we have a $1 trillion deficit.” JOSEPH STIGLITZ

“The remarkable thing is how weak wages are, how weak the economy is, given that as a result of the tax bill we have a $1 trillion deficit.”

Donald Trump is ‘just wrong’ about the economy, says Nobel Prize-winner Joseph Stiglitz


Trump Didn’t “Lift People Off Welfare.” He Cut Them Off.

Photo: Leah Millis/Getty Images
Americans are flourishing, Donald Trump insisted during Tuesday night’s State of the Union address. Unemployment is down; so is poverty. Everyone is delighted and having a very good time. “Under the last administration, more than 10 million people were added to the food-stamp rolls,” he added. “Under my administration, 7 million Americans have come off of food stamps, and 10 million people have been lifted off of welfare.” Congressional Republicans leapt to their feet and roared approval.
I note, because this is a Trump speech, and certain traditions must be observed: The president is not telling the full truth. The number of Americans on food stamps did increase during the Obama administration. But the increase was linked to the recession, which Obama did not cause. Later, in 2014, Obama signed a version of the annual farm bill that cut the food-stamp budget by $800 million. If Trump’s criticism is that the wastrel Democratic president threw gobs of money away on lazy poor people, it doesn’t quite hold.
Trump’s braggadocio about his own record is similarly undermined by reality. The president spoke tonight of a “blue-collar boom,” an economic golden age instigated by his administration’s deregulatory policies. This is false — unemployment is down, but wages are largely stagnant, and income inequality reached historic heights last year. People didn’t stop using food stamps because their economic circumstances had drastically improved. The percentage of Americans on food stamps shrank because the Trump administration changed eligibility standards. The president took help away from people who needed it. That’s not proof of a blue-collar boom. In fact, the administration has demonstrated no real interest in creating a blue-collar boom at all.
Trump’s economic priorities consist of slashing welfare, deregulating industry, and passing tax cuts that mostly enrich the wealthiest people in America. No standing ovation can obscure the basic fact that the Trump presidency has been disastrous for the poor.

“The remarkable thing is how weak wages are, how weak the economy is, given that as a result of the tax bill we have a $1 trillion deficit.”

 

Donald Trump is ‘just wrong’ about the economy, says Nobel Prize-winner Joseph Stiglitz


President Donald Trump told business and political leaders in Davos, Switzerland last week that the economy under his tenure has lifted up working- and middle-class Americans. In a newly released interview, Nobel Prize-winning economist Joseph Stiglitz sharply disagreed, saying Trump’s characterization is “just wrong.” 
“The Washington Post has kept a tab of how many lies and misrepresentations he does a day,” Stiglitz said of Trump last Friday at the annual World Economic Forum. “I think he outdid himself.”
In Davos last Tuesday, Trump said he has presided over a “blue-collar boom,” citing a historically low unemployment rate and surging wage growth among workers at the bottom of the pay scale.
“The American Dream is back — bigger, better, and stronger than ever before,” Trump said. “No one is benefitting more than America’s middle class.”
Stiglitz, a professor at Columbia University who won the Nobel Prize in 2001, refuted the claim, saying the failure of Trump’s economic policies is evident in the decline in average life expectancy among Americans over each of the past three years.
“A lot of it is what they call deaths of despair,” he says. “Suicide, drug overdose, alcoholism — it’s not a pretty picture.”
The uptick in wage growth is a result of the economic cycle, not Trump’s policies, Stiglitz said.
“At this point in an economic recovery, it’s been 10 years since the great recession, labor markets get tight, unemployment gets lower, and that at last starts having wages go up,” Stiglitz says.
“The remarkable thing is how weak wages are, how weak the economy is, given that as a result of the tax bill we have a $1 trillion deficit.”
As the presidential race inches closer to the general election in November, Trump’s record on economic growth — and whether it has resulted in broad-based gains — is likely to draw increased attention.
BLOG: THE GREATEST TRANSFER OF WEALTH TO THE RICH OCCURRED DURING THE OBAMA-BIDEN BANKSTER REGIME
“The middle class is getting killed; the middle class is getting crushed," former Vice President Joe Biden said in a Democratic presidential debate last month. "Where I live, folks aren't measuring the economy by how the Dow Jones is doing, they're measuring the economy by how they're doing," added Pete Buttigieg, a Democratic presidential candidate and former Mayor of South Bend, Indiana.
Trump has criticized Democrats for tax and regulatory policies that he says will make the U.S. less competitive in attracting business investment.
“To every business looking for a place where they are free to invest, build, thrive, innovate, and succeed, there is no better place on Earth than the United States,” he said in Davos.
Stiglitz pointed to Trump’s threats last week of tariffs on European cars to demonstrate that turmoil in U.S. trade relationships may continue, despite the recent completion of U.S. trade deals in North America and China.
“He can’t help but bully somebody,” Stiglitz said.
Max Zahn is a reporter for Yahoo Finance. Find hi


No comments: