A Donald Trump Presidency Would Make Economic SensePosted on November 01, 2016 in Blog • General Blurps
A Donald Trump Presidency would help this country economically
According to Eland (2016) the post world war II informal American empire has been defined by the U.S protection of the friendly and wealthier nations in Europe, East Asia and the Middle East. Usually, protection is given against antagonists adversaries of that specific nation. To protect these nations, the U.S is required to retain hundreds of military bases in these countries, profligate the military and covert interventions in order to maintain the expensive empire (Eland, 2016). In return, these nations have not entirely unlocked their markets. This becomes hard for America to export its products and services. Trump is right that America can no longer afford to sign up to protect countries that are now wealthy, against enemies that do not directly pose a threat to the Unites States (Eland, 2016). It is for this reason and many more that a Trump's presidency would make economic sense.
Currently, the U.S has a $19trillion national debt, which does not appear to be a serious issue to the U.S foreign policy elite. The policy elites have kept up an unyielding coat of plentiful remote co-operations around the globe (Eland, 2016). For America's economy to experience outstanding growth there is need to have a more free and adaptable outside approach like the one that was initially proposed by the founding fathers. The fathers advised the country against engaging in permanent and entangling partnerships. Trump is a passionate advocate for foreign policy reforms, for this reason, as President, he will retract the three pillars of the U.S Empire so that the national debt can be reduced. This will assist in the restoration of the vigorous American economic development (Eland, 2016). Trump is correct that America needs to get its house in order as opposed to attempting to take care of the issues of other countries.
According to Trump, the low interests rates in America will provide an avenue for doing many things that are currently not being done. He has advocated for a fiscal stimulus which involves more spending, especially in the construction of critical infrastructure like roads and bridges (Kocherlakota, 2016). The second stimulus will involve keeping up low duties regardless of the abnormal amounts of government obligation. The proposed tax cuts can have beneficial impacts on the U.S and the global economy. This will create the demand for goods and services required in order to get inflation as well as employment back to the healthier levels. Trump's proposal to have tax reductions will be dependent on the response of the Federal Reserve (Kocherlakota, 2016). However, coordinated activities between administration as well as the national bank will protect the crippled economy.
Trump believes that some U.S trading partners, like China are taking advantage of their trade relations with the U.S (Oliver, 2016). The presidential candidate has constantly argued that the Chinese are keeping their currency artificially low relative to the U.S dollar in an effort to run big trade surpluses with the U.S. In response to this, Trump has proposed that it will be in order to impose a 45% tariff on all the Chinese imports to the U.S until the country allows its currency to float freely (Oliver, 2016). Under Trump's presidency, China will be labeled as an economic manipulator, Trade cases will be brought against China. In the event that the nation does not stop its unlawful exercises, including its burglary of American competitive advantages and licensed innovation, countervailing obligations will be applied to the nation until it stops. Implementing protected innovation standards would create immense employment opportunities (Donaldjtrump.com, 2016).
Trump has expressed his displeasure with Mexico over illegal immigrants who cross the U.S border. He has argued that a 35% tariff on all products imported from companies that outsource U.S jobs to Mexico.
In consideration of the stated facts, it is evident that a Trump's Presidency will make economic sense. The candidate has proposed a detailed plan that will help in reforming American trade policies and create new jobs that will eventually bring wealth to America. The detailed plan will involve the identification of trade violations that harm American workers, renegotiating the NAFTA deal; which is causing immense damage to America, and keeping America out of the Trans-pacific partnerships. Trump's policies will stimulate the U.S economy. The mixture of big tax cuts, enlarged defense and infrastructure spending will provide a fiscal stimulus. With minimal regulations, a stimulation in supply will be experienced.
Donaldjtrump.com. (2016, 9 15). Trump Delivers Speech On Jobs At New York Economic Club. Retrieved 10 24, 2016, from Donaldjtrump: https://www.donaldjtrump.com/press-releases/trump-delivers-speech-on-jobs-at-new-york-economic-club
Eland, I. (2016, 8 4). Trump Needs to Flesh Out a Strategic Vision for U.S. Foreign Policy. Retrieved 10 24, 2016, from Huffington post: http://www.huffingtonpost.com/ivan-eland/trump-needs-to-flesh-out_b_11295650.html
Kocherlakota, N. (2016, 4 28). Trump Starts Making Economic Sense. Retrieved 10 24, 2016, from bloomberg.com: https://www.bloomberg.com/view/articles/2016-04-28/trump-starts-making-economic-sense-narayana-kocherlakota
Oliver, S. (2016, 9 21). Oliver's insight. The US presidential election: Trump the populist versus Clinton the centrist. Implications for investors . AMP Capital.