Moody’s predicts that a Trump presidency would send our nation right back into a recession, killing 3.5 million jobs and sending the unemployment rate above 7%.“Broadly, Mr. Trump’s economic proposals will result in a more isolated U.S. economy. Cross-border trade and immigration will be significantly diminished, and with less trade and immigration, foreign direct investment will also be reduced. Driven largely by these factors, the economy will be significantly weaker if Mr. Trump’s economic proposals are adopted… During Mr. Trump’s presidency, the average American household’s after-inflation income will stagnate, and stock prices and real house values will decline.”
The fallout of a Trump economy would fall squarely on the American middle class – while the richest Americans, like Trump, will make off like bandits. A universal theme to all the economic plans proposed by Republican candidates, the minor tax breaks given to the middle class are made entirely irrelevant by the giant cuts handed to the ultrawealthy and the job losses that would be accompany them.
Trump’s plan would also send the federal deficit into the stratosphere, as the loss of tax income from his reckless cuts would require drastic increases in federal borrowing to make up for the discrepancy, as the reports notes: “His tax and spending proposals will result in very large deficits and a much higher debt load. A future Congress may be able to rein in this profligacy, but it will not be easy, as there is a gulf between what he says he wants on taxes and spending and what it will take to make the budget arithmetic work.”