When listening to the Trump rhetoric I can understand why his supporters actually think the economy is doing well. The unemployment rate is low, jobs are being created and the stock market is hitting record highs. But what’s left out is the fact that, President Trump is on the path to racking up more debt than Obama did. And it’s a pretty significant increase in debt.
I thought Republicans supported small government and the need to reduce government spending? Do tax cuts really matter if the administration is continuing to print fiat money and expand subsidies?
I guess fiscal conservatism only applies when cutting universal healthcare and welfare. Military spending seems to be fine because President Trump plans to increase the Pentagon defense budget to 750 billion. Up almost 5% to the original 716 billion that president Trump said was “crazy.” Recently Trump said the $750 billion is a “negotiation tactic” to ensure Democrats don’t push the bill under $733. All though this is not yet official, it seem highly likely President Trump and Republicans will ensure this happens.
Let’s not forget about the 867 billion dollar Farm bill that Congress recently passed and Trump is revving up to sign. This corporate subsidy is set to spend $867 billion over 10 years. Although the bill incorporates the legalization of hemp, and the bill’s drafters project it will not increase the federal deficit over the next 10 years, it’s still providing corporate welfare to industries able to increase profits and productivity independently.
Trump’s trade war with China has broken our Farm and Agriculture industries and this subsidy is mainly implemented to pick up those pieces.
The 2019 fiscal year spending is at $4.407 trillion; consisting of $2.739 trillion going to social security, Medicare and Medicaid, $1.305 trillion going to discretionary spendings such as defense and education, and $363 billion going to the interest on our national debt.
While the government spends to stimulate the economy and spends to fight wars overseas, we the American people, are heading towards a recession worse than 2008. While the debt bubble continues to grow, and Trump continues to deceive his supports, our economy is heading into a disastrous recession.
Let’s not be fooled by Trump’s rhetoric that the economy is doing well because it’s all political jargon. We are not living in a sustainable economy with real growth but instead an economy that prints fiat money to make it appear as its thriving, with continual spending that never ends and creates more inflation and devalues the US currency.
