Larry Kudrow: Congressional Republicans Shouldn’t Stop Trump’s Tax Cuts
Suddenly, except for bad news, it’s coming out of the Republican Congress on tax cuts. Some people in the house are talking about a five-year extension of Trump’s tax cuts. The senator is talking about two or three budget bills that will turn tax cuts backwards in the line. This is bad economics and bad politics.
Republicans suffer from amnesia about the economy. This was the biggest issue in the election last November. And there were two factors in the economy. Inflation and affordable prices. In other words, as BidenFlation rose 20%, the real wages of middle and low-income blue-collar workers fell. The success of Trump’s working-class voter coalition was not based on race, gender or left-wing culture. It was based on a lack of income.
Rep. Wesley Hunt, R-Texas, is debating the return of economic growth to “Kudrow” under President Donald Trump.
There are two ways to gain weight on your middle-income wallet. You can defeat inflation Reducing energy costsand less Government spending and money printingreduces taxes. Supply-side policies are always political and economic winners. Working class voters couldn’t afford to live in the Biden economy. But Republican economic policies must give enough elbow space for working people so that they can afford to fat their wallets and buy the Trump economy easily. And if the Republican hangup is a bunch of failed economic models from the government’s bean counters, like the CBO, then the GOP should rise up and fight it.
Income after Trump’s tax cut in 2017 It increased from $1.5 to $2 trillion. Even the CBOs have admitted that it is nearly $2 trillion more than their initial estimate. And it’s inexplicable and in the woods, GOP should use Senator Mike Krapo’s policy baseline, but argued that this is not yet the case to make popular tax cuts permanent. However, in the future, it will cause loss of income. So you don’t need to cut your spending by $4-5 trillion in any time. Yes, they should spend on 3% of Scott Bessent’s GDP deficit. Lowers your debt to the GDP ratio. However, the growth dividend on the Laffer curve from tax cuts is enormous.
US Treasury Secretary Scott Bescent addressed President Donald Trump’s economic and financial goals in his first interview on “Kudrow” since joining the administration.
That’s what history shows. And there’s another reason why the GOP should make all Trump tax cuts permanent. The President wants that.
He was selected, among other things, on the promise of tax cuts. As White House Press Director Karoline Leavitt said today, Trump’s tax priorities are very clear. Make the 2017 tax cuts permanent, no tax on tips, no tax on seniors, no tax on overtime allowances, tax-reduced products from American maids, and special tax credits for billionaires, including owners of sports teams. I’ll eliminate it. Or a loophole in favorable interest in investing. These are the president’s priorities. He won an election that was close to a landslide.
His working class coalition of black, brown, Asian, young, women and men says that the coalition is based primarily on optimistic beliefs. Trump can rejuvenate the economy And the unlimited access to climb the ladder of opportunity is that of Trump. Republicans in the House and Senate should not stand in the way President Trump has done.