To offset those losses, Trump said he would generate even further economic growth via increased energy production and reductions in trade deficits, and that he would cut $1 trillion over a decade from the federal budget – without touching Social Security, Medicare, Medicaid or defense. “I’ll leave it to him when to do it”, Ryan said. “You can visit our website, just look at the math, it works”, Trump told the New York Economic Club.
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Sen. John Cornyn (R-Texas), the majority whip, objected to the motion: “If my friend from OR wants to discuss transparency and bringing the presidential election here to the floor of the United States Senate, I think the person we should start with is the former Secretary of State”.
Trump’s proposal is ambitious – the nation hasn’t seen 3.5 percent annual growth since 2004 and 4 percent growth since 2000. But since the last recession ended in 2009, economic growth has remained stable at around 2 percent, according to Bloomberg. Earlier this week, global economic research firm Oxford Economics projected the usa economy could be $1 trillion smaller than otherwise expected in 2021 if Trump becomes president. Greater business investment and higher wages will help lift both measures, but many other economists believe Trump’s tough trade promises – to renegotiate the trade agreement with Canada and Mexico, and threats to impose big tariffs on China and other trading partners – will hurt global trade and end up subtracting from US economic output growth.
Minutes later, Trump praised himself for transitioning from notes back to the suddenly working teleprompter, playing off his line about how broken things can be fixed and failures turned into successes.
Other groups have predicted more adverse effects from Trump’s policies. In a question-and-answer session, he added that his plan would decimate the tax preparer industry. “We’re going to unleash a lot with the regulations”. He said he’d pay for that by cutting waste and fraud in the nation’s unemployment program.
His speech didn’t reference entitlement reform, something conservative economists widely believe is crucial to lessening the debt and deficit.
Aides to Democratic rival Hillary Clinton have disputed Trump’s analysis, saying his tax cuts benefit only wealthy people like himself.
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While responding to critics that his previous tax and growth plans were vague and unrealistic, Trump nonetheless raised questions about how he could achieve such rapid economic growth – former candidate Jeb Bush was derided for promising 4% growth – and pay for what are still very large tax cuts to individuals and businesses.
