As the data from the third quarter of the Donald Trump presidency rolls in, it is clear the fiscal impact of President Trump’s policies is delivering more beneficial effects for America. In fact, the policies have exceeded projections.
Despite analysts (and the leftist media) saying it couldn’t be done, President Trump’s economy continues to pull ahead. According to Bureau of Economic Analysis data reported in The Daily Caller, the economy “grew at a 3 percent rate in the third quarter of 2017, continuing to expand after posting an impressive 3.1 percent economic growth rate in the second quarter.”
This economic performance is another promise fulfilled by President Trump. He and other key members of his cabinet have repeatedly projected the economy to grow at least three percent each quarter, a notion that was supported by Congressional Republicans who have been striving for tax reform to further aid the economy.
But economists and analysts didn’t think this performance was possible.
In March, Jason Furman, former top economic policy adviser to President Obama, wrote an extensive analytical piece in which he declared “Assuming growth rates much higher than recent experience — or even most of past experience — is unwarrantedly optimistic.” He claimed that Trump’s economy would see growth reduced from the typical 1.8 percent rates due to supposed Trump policies designs with “increased deficits, reduced public investment, curtailed immigration and new trade barriers.”
A writer for US News & World Report said back in May that the “highly unrealistic forecast” was made while “were wearing their rosiest-colored glasses” and offered “no sensible rationale.” He concluded by calling it, “indefensible economic forecast [that] is just another gimmick to hide the true cost of an indefensible Robin-Hood-in-reverse-budget.”
Policy director for the nonpartisan group Committee for a Responsible Federal Budget, Marc Goldwein, stated: “If you took the unemployment rate down to zero, you’d not even be close to 3 percent growth.” He went on to declare that due to the aging workforce, the US would need to “double our immigrant population over the next decade” to attain three percent growth.
However, the numbers have spoken for themselves — despite the harsh criticisms and disbelievers.
Consumer confidence is at a 16-year high, which is pushing people into stores and driving up retail sales. It’s a sign of what’s to come as the economy begins to roar back to life after being stagnated under former President Obama.
As President Trump continues to remove the Obama-era regulations that have been stifling the energy and manufacturing sectors for eight long years, growth should continue in those areas. President Trump has taken huge steps in helping the economy already by removing the US from the job-killing Paris Climate Accord. Shale oil production in the US is now at record high levels. Coal production has made a massive comeback and is now up 12 percent.
The National Association of Manufacturers Outlook Survey released their highest manufacturing optimism in their 20-year history — to a record 91.4 percent. The Institute for Supply Management reported a manufacturing barometer to 57.8 percent — a number higher than 50 denoting expanded manufacturing. Both estimates, reported in The Observer, show how manufacturing in America has been restored under Trump.
Most Americans have reported positive fiscal effects so far, with more confidence in the economy. In a recent poll, nearly half of Republicans reported improvements in their personal finances. The coincides with the figures reported by The Daily Caller, which state “Americans’ disposable personal income in the past two financial quarters increased $198.7 billion and personal savings grew over $1.04 trillion.”
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Stephen Moore, former senior economic adviser during the Trump campaign, remarked on the financial progress: “The lower corporate tax rate would mean trillions of dollars of after-tax stock returns over the next decade and at least some investors are buying ahead of that. Failing to pass a tax cut, could reverse the financial and jobs gains we’ve seen.”
If President Trump’s tax reform plan can be implemented along with continued deregulation, growth well over three percent should be possible.