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The Economy Is In A Whole Heap Of Trouble And It’s All Thanks To Trump’s Tax Cuts



Trump has made a very big deal of his tax cuts and reform bill, mostly because it is pretty much the only major bill he has actually managed to pass during his two years in office. Plenty of motive to big it up publicly, then. He has called it “the biggest tax cuts and reforms in American history”, even though that is not even close to being true.

Even ignoring all the dramatic proclamations, Trump’s tax bill has been an unequivocal disaster for absolutely everyone bar the very, very rich (for whom it makes basically no difference). As it turns out, slashing taxes – especially for those who pay the most tax – means there is much less money in the government pot every month. That’s some pretty complex economics, especially for a lifelong businessman like Trump.

Continuing with these complicated concepts that are incredibly difficult to understand, less money means bad stuff happens to the economy. Woah. Mind blown. Who knew?

Gage Skidmore/Flickr

Thanks to the massive ball of reckless fiscal irresponsibility that was Trump’s tax bill, the federal deficit has exploded to a colossal $779 billion (as of the financial year that just ended). Considering that the US is not currently in the mire of an economic disaster, nor is it at war with the world or itself, that number is staggeringly high. It’s actually impressive how badly Trump is managing the economy.

In the next twelve months, the government is expected to borrow over a trillion dollars, just to cover the costs of not collapsing. Trump’s highly questionable decision to hand a whole load of taxpayer money to the top capitalists and the very richest entrepreneurs looks yet more disastrous alongside that statistic.

This is all because the tax reforms mean that corporation tax revenues – the money the government gets from businesses – fell by nearly a third in the last year (as of the end of September). That, in itself, is positively insane. To lose a third of all corporate tax revenue is always going to cause a monumental hit to the economy and, as usual, it’s the people at the bottom of the ladder who suffer the most.

Not to worry, though. The White House is full to the brim with geniuses, so a solution can’t be far off. Right? “The President is very much aware of the realities presented by our national debt,” said White House budget director Mick Mulvaney.

Right, but “aware” doth butter no parsnips, Mick. Sort it out.





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