Are Trump's economic policies good or bad?

[BlackHatCoiner]

He proposed tax cuts amounting to trillions of dollars, including expanding the 2017 tax cuts and reducing the corporate tax rate from 21% to 15%.

The more tax cuts, the freer the country.

He planned to impose new tariffs of 10%-20% on most foreign goods, with higher tariffs on Chinese products (at one point, up to 60%), and heavy tariffs on Mexican automobile products (even threatening to reach 200%).

I'm completely against imposing tariffs, for the same reason I'm against imposing taxes to some groups of people the government decides; it all relies on the assumption that the central planner knows better than the free market.

The Federal Reserve should lower interest rates to stimulate economic growth.

That's pretty empty, in itself. The economy is not a "lever" that you toggle on and off. Lowering the interest rates does not necessarily stimulate growth, for the same reason that rising the interest rates does not necessarily restrain growth; the economy is a complex reality whose outcomes are not dictated in isolation.

[Fortify]

The title is a bit misleading. Everything has two sides, and after analyzing it broadly, it's clear that, true to his nature as a businessman, his economic policies tend to benefit the wealthy.
1.Tax Policy:
He proposed tax cuts amounting to trillions of dollars, including expanding the 2017 tax cuts and reducing the corporate tax rate from 21% to 15%.
2.Trade Policy:
He planned to impose new tariffs of 10%-20% on most foreign goods, with higher tariffs on Chinese products (at one point, up to 60%), and heavy tariffs on Mexican automobile products (even threatening to reach 200%).
3.Monetary Policy:
The Federal Reserve should lower interest rates to stimulate economic growth.

Trump makes up his economic policies depending on what side of the bed he fell out of this morning or which way his hair is blowing. He does have some sort of fixation on trade and using tariffs in trying to bully trading partners, but history has shown that protectionism is very bad for the world and leads down a dark path. He is not completely wrong, as too much subsidization can be used by certain countries to establish a monopoly in a market, driving out local industry and then the prices ramp up when all competition is gone - however many Americans have benefited from low trade barriers because goods were imported much more cheaply than they can be produced at home and theoretically freeing up American's to work on more pioneering products.

[shinratensei_]

Personally I think the tariff thing would be a bad idea because the foreign goods importers will just add the tariff fee on the burden of consumer.
so essentially making such rule useless.

as for the other such as cutting interest rate and tax cuts, I think that's a good idea, but it depends on the whole situation of the world economy I guess, if there's need for stimulating economic growth he should.

overall it seems the whole financial market welcomes such regulation reflected from how performing the equity bonds are lately.

[bettercrypto]

If you believe in Trump and his policies, there is no reason to doubt him, it's that simple to understand, common sense is all that's needed to answer that. Anyone would do and think like this of course. Especially if you saw the impact and influence he has on the bitcoin or crypto market.

Why op, didn't you see what happened during the election days that affected the price of bitcoin? There was a sudden rally in the price of Bitcoin, so right here you should know if Trump has a good impact on the bitcoin market. And when the price of bitcoin rises, the top cryptos in the market will follow for sure.

[Iranus]

India was smarter and more nimble than all the other BRICS members and washed its hands of the toxic members, the rogue countries, with their tantrums about dedollarization:

“DOHA, Dec. 7. /TASS/. The BRICS countries are discussing financial transactions within the association, but there is no proposal to create a single currency now. This was stated by Indian Foreign Minister Subramanyam Jaishankar, speaking at the XXII Doha Forum. “BRICS is discussing financial transactions, but the countries of the association do not have a common position on this issue,” the minister added.
“The United States is our largest trading partner and we are not at all interested in weakening the dollar,” Jaishankar stated.
Excellent reaction, an adequate BRICS member, to Trump's words !

The main goal of BRICS is to reduce dependence on USD, although India has quite close relations with the US, but if India is not interested in reducing dependence on USD and participating in building a multipolar world. Why did they join BRICS and why didn't they leave the bloc to move closer to the US?

Is India really not interested in de-dollarization or is it just making the announcement to appease Trump since we all know Trump is quite angry about de-dollarization? But they will still continue to silently support the de-dollarization plan for BRICS.

I do not deny that the dedollarization process will slow down under Trump but when Trump's term ends, the process will continue. Dedollarization and creating a multipolar world are no small matter and could take decades. So it is too early to say that BRICS has failed or that they have given up.

[Synchronice]

So are these policies are good or bad? We have to wait and see what he actually does and how they'll affect the US economy (6 to 12 months before we can give a better analysis); but for now they don't look good on paper.

That's actually the most correct answer. He says one thing and does another.
If he really wants to set such a huge tarrif on foreign goods, immediately as he comes to the governance, that will be one of the stupidest thing that he will ever do (probably).

The cuts are for the rich not for the middle class.

I wonder if this will be a disaster for the USA

That's definitely terrible but sadly, there are many stupid people that think that if we cut the tax rate for rich people, they'll pay huge salaries to their employees. They completely ignore that with high income, the appetite growths too.

The more tax cuts, the freer the country. 

Yes but many people think that tax-free is the best thing, which I don't agree and I hope you don't agree too (Saudi Arabia is out of discussion because they have tons of oil). Taxes should be low enough to stop companies from moving to other countries and sending all the collected taxes in those countries. Taxes also should be low enough that people shouldn't start thinking about ways to hide taxes. I think that if countries have lowered taxes, they would collect more taxes (sounds paradox?) because less and lesser people and companies would try to hide taxes and overall image would be better.

That's pretty empty, in itself. The economy is not a "lever" that you toggle on and off. Lowering the interest rates does not necessarily stimulate growth, for the same reason that rising the interest rates does not necessarily restrain growth; the economy is a complex reality whose outcomes are not dictated in isolation.

This is also a good answer.

[Haunebu]

It's not that simple op. He doesn't really give a crap about commoners just like most politicians out there and is only focusing on helping the republicans gain more ground during his 2nd term.

The ones who think that he actually cares about commoners are deluding themselves. Also, he will most probably decide which economic policies to greenlight and which to restrict through his personal assistant(Elon Musk).

[BlackHatCoiner]

Yes but many people think that tax-free is the best thing, which I don't agree and I hope you don't agree too

What does "tax-free" mean? Completely free of taxes? I'm all in for anarchocapitalism and libertarianism, but I think certain things like defense and justice cannot work in practice, based on free market. So, there have to be some taxes. There's no sufficient evidence that the free market can cover these institutions, alone.

I think that if countries have lowered taxes, they would collect more taxes (sounds paradox?) because less and lesser people and companies would try to hide taxes and overall image would be better.

It'd definitely enable the market to "breath" more, which in return would increase the total goods and services. Again, the economy is a complex reality, so I cannot answer with a 'yes' or 'no' on whether lowering the taxes would result in more taxes collected.

[EarnOnVictor]

1.Tax Policy:
He proposed tax cuts amounting to trillions of dollars, including expanding the 2017 tax cuts and reducing the corporate tax rate from 21% to 15%.

This is not anti-country but rather to reduce the excesses of earnings of the government and indirectly give back to the people. It's not so bad but in the case the government has more obligations to fulfil, it might be an issue provided there is no contingency plan to measure it up.

2.Trade Policy:
He planned to impose new tariffs of 10%-20% on most foreign goods, with higher tariffs on Chinese products (at one point, up to 60%), and heavy tariffs on Mexican automobile products (even threatening to reach 200%).

This is where he plans to get the money from the people's tax relief but he should be careful in doing this, no one has a monopoly of everything, especially if it is targeted at many countries, it might fight back.

3.Monetary Policy:
The Federal Reserve should lower interest rates to stimulate economic growth.

This is not the jurisdiction of Trump but of the Federal Reserve unless he wants to replace Jerome Powell with his ally who can do his bidding. What Powell is doing as the economic response is the right approach I know in economics and naturally as inflation subsides, he will cut the rates.

[bitgolden]

Trying to guess this makes no sense to me at all, doesn't really give anyone any benefit at all to try and make this work somehow, it is just not benefiting anyone. We need to remember that we can't really make these kind of decisions before they actually happen. Trump is literally not the president at the moment, so trying to guess will not take you anywhere.

I am pretty sure that it is a long term deal, so the short term will be painful and hurting the economy a lot, with the hopes that on the long term it will make it even stronger. Will that work? I do not know, I have no idea, but that is what his advisors and people are saying, so one thing is for sure, if you think he will hurt the economy or if he will help the economy, no matter what, the first few years might be bad, maybe even his full four years, but the assumption is that he will be doing something that will help the nation even after him, so the start will not be pretty at all, that much we should be aware because even he is saying so.

[DrBeer]

India was smarter and more nimble than all the other BRICS members and washed its hands of the toxic members, the rogue countries, with their tantrums about dedollarization:

“DOHA, Dec. 7. /TASS/. The BRICS countries are discussing financial transactions within the association, but there is no proposal to create a single currency now. This was stated by Indian Foreign Minister Subramanyam Jaishankar, speaking at the XXII Doha Forum. “BRICS is discussing financial transactions, but the countries of the association do not have a common position on this issue,” the minister added.
“The United States is our largest trading partner and we are not at all interested in weakening the dollar,” Jaishankar stated.
Excellent reaction, an adequate BRICS member, to Trump's words !

The main goal of BRICS is to reduce dependence on USD, although India has quite close relations with the US, but if India is not interested in reducing dependence on USD and participating in building a multipolar world. Why did they join BRICS and why didn't they leave the bloc to move closer to the US?

Is India really not interested in de-dollarization or is it just making the announcement to appease Trump since we all know Trump is quite angry about de-dollarization? But they will still continue to silently support the de-dollarization plan for BRICS.

I do not deny that the dedollarization process will slow down under Trump but when Trump's term ends, the process will continue. Dedollarization and creating a multipolar world are no small matter and could take decades. So it is too early to say that BRICS has failed or that they have given up.

In order to answer your question, it is worth first understanding - what is the benefit, for example, for India in dedollarization ? I have already said many times - the hysteria with dedollarization was raised by rogue countries and those who understand that they may find themselves in their situation. Everything is very simple - de-dollarization and forcing the BRICS members to a “single currency” or, for example, mutual settlements in yuan, has one goal - to solve the problems of a small. The main goal, which was openly stated by the president of the terrorist country, Putin - “Sanctions and blocking of our funds, do not allow us to continue our business, and earn to finance terror, so it is necessary to abandon the international settlement system and the dollar”. The other countries, absolutely expectedly, do not understand why they should invent something to replace the established and convenient system of mutual settlements in the dollar in international trade. At the same time, they can still settle in local currencies.... But they don't really want to, because they want to get dollars for exported goods and services. A dollar for which they can buy any necessary goods and services in any country!
China tried to impose the yuan as the “single currency of BRICS” with quite a pragmatic purpose - to save its economy.

[STT]

China has grander ambitions, they are reserving gold and also Russia does this as both want no part in the influence of the dollar to continue longer term along with its biggest backer the USA.

Overall the ideal of less trade because of any restriction is by default a negative.  Its hard to overcome the standing negative of a tariff, the obvious result is less trade done and very likely restrictions returned those who receive tariffs.

 The biggest effect is on the ground, businesses hit like artillery from distant powers barely able to see where their bombs land or the damage done, random sectors restricted and damaged by no wrong in their own work or product; it is of course the opposite of capitalism and reduces efficiency both in those companies and across the economy overall.

[shinratensei_]

China has grander ambitions, they are reserving gold and also Russia does this as both want no part in the influence of the dollar to continue longer term along with its biggest backer the USA.

Overall the ideal of less trade because of any restriction is by default a negative.  Its hard to overcome the standing negative of a tariff, the obvious result is less trade done and very likely restrictions returned those who receive tariffs.

 The biggest effect is on the ground, businesses hit like artillery from distant powers barely able to see where their bombs land or the damage done, random sectors restricted and damaged by no wrong in their own work or product; it is of course the opposite of capitalism and reduces efficiency both in those companies and across the economy overall.

yeah it seems that's the case, many countries more specifically the one that joined BRICS trying to replace USD, we don't know whether they will succeed though, but they seem to be in favour of hoarding gold and possibly commodities as well.
the tariff itself might cause the economy to slow down, because it means higher price for imported stuff and the country like china will definitely react and do counter measure probably shifting their export to another countries, but it will also keep the money from going to china anyway, since china just lost its number one customer of their exported goods if they decide to shift their attention.

[DrBeer]

India was smarter and more nimble than all the other BRICS members and washed its hands of the toxic members, the rogue countries, with their tantrums about dedollarization:

“DOHA, Dec. 7. /TASS/. The BRICS countries are discussing financial transactions within the association, but there is no proposal to create a single currency now. This was stated by Indian Foreign Minister Subramanyam Jaishankar, speaking at the XXII Doha Forum. “BRICS is discussing financial transactions, but the countries of the association do not have a common position on this issue,” the minister added.
“The United States is our largest trading partner and we are not at all interested in weakening the dollar,” Jaishankar stated.
Excellent reaction, an adequate BRICS member, to Trump's words !

The main goal of BRICS is to reduce dependence on USD, although India has quite close relations with the US, but if India is not interested in reducing dependence on USD and participating in building a multipolar world. Why did they join BRICS and why didn't they leave the bloc to move closer to the US?

Is India really not interested in de-dollarization or is it just making the announcement to appease Trump since we all know Trump is quite angry about de-dollarization? But they will still continue to silently support the de-dollarization plan for BRICS.

I do not deny that the dedollarization process will slow down under Trump but when Trump's term ends, the process will continue. Dedollarization and creating a multipolar world are no small matter and could take decades. So it is too early to say that BRICS has failed or that they have given up.

Are you sure that one of the main objectives of BRICS is de-dollarization? For example, I believe that up to a certain point, BRICS was an economic union, the purpose of which was mutually beneficial cooperation and economic development. Do you feel that? There is no word de-dollarization ! But from 2022 onwards, suddenly, some toxic BRICS members started hysteria with “dedollarization” And you probably know exactly who and the reason, right ?
And two questions:
1. Tell me - who now prohibits the BRICS countries to trade in national currencies?
2. With global dedollarization, how will BRICS, not a self-sufficient union (and BRICS cannot cover all the needs within itself), interact with the world, dollarized, economy ? It is very interesting to know your opinion !

[Scarlett_23]

Trump was a savvy businessman and former president.  Now it is to be seen how he will manage the state in the second term.  Since he is a businessman himself, I think the business will expand even more.  Again, it is not possible to say exactly what steps Donald Trump will take in the case of immigrants.  On the other hand, one of the attractions of his election campaign was to deter other countries. 

So it is difficult to get an idea of ​​his conduct until he comes to power but we can expect him to play an important role in maintaining world peace.

Besides, what his tax policy, trade policy and monetary policy will be will be known only after he comes to power.

[diamondsurfer]

He's definitely on the right path. A lot of our issues go away with strong foreign policy and less regulation/spending.

[DrBeer]

China has grander ambitions, they are reserving gold and also Russia does this as both want no part in the influence of the dollar to continue longer term along with its biggest backer the USA.
...

China not only has great ambitions, but also economic problems. Moreover, all subsequent steps do not solve the problem, but aggravate it, and so far there is no way out of the dip.
About gold. It is possible to talk about gold of China and Russia, but... you will not be able to give a single proof of their real reserves. All these huge reserves are just words. You can't even get information about state reserves (gold currency reserves) of China and Russia somewhere in open sources ! In China they are classified long ago, in Russia after 2022. Question - if everything is so good - why hide it?

[fruktik]

Trump makes up his economic policies depending on what side of the bed he fell out of this morning or which way his hair is blowing. He does have some sort of fixation on trade and using tariffs in trying to bully trading partners, but history has shown that protectionism is very bad for the world and leads down a dark path. He is not completely wrong, as too much subsidization can be used by certain countries to establish a monopoly in a market, driving out local industry and then the prices ramp up when all competition is gone - however many Americans have benefited from low trade barriers because goods were imported much more cheaply than they can be produced at home and theoretically freeing up American's to work on more pioneering products.

I laughed at how Trump makes a decision. I want to point out that he is far from being an economist, but more of a businessman. I doubt that he understands the country's financial issues at the state level. He has seven Fridays in a week. He looks more like a crazy person who sometimes does not realize what he is doing. In addition, we should not forget that he is over 70 years old. At this age, the mental process does not work so well. He will be exactly the same as Biden is now. Where will all this lead in the end? It is difficult to make any predictions about his policy now until he is inaugurated.

[STT]

you will not be able to give a single proof of their real reserves

Its an open secret because its not hard to figure out but China hides just how much gold they are buying as to do so more plainly could as much as double the price.   They have no interest in stating themselves openly, like alot of things China does its only clear by their actions later.

So in the past gold decline, China via 3rd parties would acquire many gold mines that were suffering poor funding.   The worth of that gold mine with a bullion price near a thousand is low or near zero perhaps as the mining is uneconomic to perform.   The worth of the mine with a bullion price of over 2000 moving to 3000 and eventually 4000 is great, its free money for China to acquire such a mine with this future knowledge.

They are the largest buyer, cornering the market has advantages and some negatives as they dont want anyone to front run that certain intention to place foreign reserves with gold.   The biggest whale in any commodities market is china, its true for Iron copper and certainly gold.   They often can be extremely aggressive in negotiations, I think Australia can speak to that fact but China easily dominates this region like Russia occupied most of Europe in the last century its the most obvious danger in the world imo.


Much as I hate to ever agree with Trump, if he is even slightly more aware of that ever present  danger then prior administrations he could prove himself useful.  Unopposed its possible China across the world to do much damage to the concepts of freedom or free trade.

[ManHatOn]

1) Great, especially if they can slash spending.
2) Horrible, doesn't history tell us large tariffs do much more harm than good?
3a) What about a complete audit of the FED?
3b) Also, the same for USDT (if possible, this should be done by trusted crypto players not the government), before it causes a major BTC crash!

The title is a bit misleading. Everything has two sides, and after analyzing it broadly, it's clear that, true to his nature as a businessman, his economic policies tend to benefit the wealthy.
1.Tax Policy:
He proposed tax cuts amounting to trillions of dollars, including expanding the 2017 tax cuts and reducing the corporate tax rate from 21% to 15%.
2.Trade Policy:
He planned to impose new tariffs of 10%-20% on most foreign goods, with higher tariffs on Chinese products (at one point, up to 60%), and heavy tariffs on Mexican automobile products (even threatening to reach 200%).
3.Monetary Policy:
The Federal Reserve should lower interest rates to stimulate economic growth.