Thursday, September 5, 2024

Ir's the economy again. Harris v Trump

Update 9 11 2024   https://apnews.com/article/inflation-prices-interest-rates-economy-federal-reserve-bb1f4cfeede550c6c82fd78e2ea537a5?user_email=2254787f2de6133291d8de56d5223ad0836fd31a4ba928a7dc8ea959298ab6f4&utm_medium=Afternoon_Wire&utm_source=Sailthru_AP&utm_campaign=AfternoonWire_Sept11_2024&utm_term=Afternoon%20Wire

Update: 10/4/2024   Debt and deficits https://www.investopedia.com/trump-harris-tax-spending-plans-deficit-2024-election-8710401

 jobs report, inflation near 2%, no recession, wages rising higher than inflation: https://www.politico.com/news/2024/10/04/september-jobs-report-economy-00182505

update 9 9 2024..

Harris' economy agenda was released yesterday. We will get Trump's today. CNN's summary seems pretty comprehensive and clearly stated so I am posting it. https://www.cnn.com/.../kamala-harris-capital-gains-tax Two comments stand out from the CNN take: it is more moderate than Biden's and signals a different take on business relations and, for once, a real boost in small business startups...in fact that got a wow wow wow from my Harvard MBA son visiting me. The same emphasis on favoring the middle class and using the very wealthy to pay a greater share permeates her plan., as expected. One major nod to economic conservatives I heard discussed today by experts was the reduction in the federal debt that she offered. Trump had blown that out of the water with his tax cuts to the rich when he was in office. I am waiting for the experts to sharpen their pencils when Trump promotes his today for comparisons. Also on the horizon: Federal Reserve is expected to lower interest rates later this month. High interest rates have been the only brake on inflation available to government officials and what this signaled is that the COVID effect of heated inflation has cooled off.

That we can return to pre-COVID prices is fantasy land, but some have reached more tolerable levels. No president can waive a magic wand and set prices, but there are ways to indirectly influence them. Biden released strategic oil reserves to offset Russian oil and the Ukraine war.. Gas at the pump prices, for example, are at their lowest level in 3 years, and we do not have a crude oil shortage because we have been pumping oil, baby, pumping. The real killer now is the price of rent and the ability to buy homes, and Harris has already laid out her plans for middle-class relief in mortgage assistance (maybe my 30 something yr old grandchildren can finally buy a home) and affordable housing construction to increase the supply and lower prices.. She's got her priorities and we will wait for Trump's. https://www.cbsnews.com/news/gas-prices-labor-day-holiday-travel/

Falling Pump Prices Blunt Trump’s Inflation Attacks on Harris (msn.com)

https://taxfoundation.org/research/all/federal/trump-tariffs-biden-tariff

https://www.economist.com/leaders/2023/11/02/donald-trumps-tariff-plans-would-inflict-grievous-damage-on-america-and-the-world "although Mr Trump claims that tariffs are paid for “mostly by China”, the burden actually falls on American consumers, via higher prices. A 10% universal levy would cost each American household an average of $2,000 a year."

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