The GOP tax plan is a multi-billion-dollar gift to China and German

[Amica Nostra 4,803]

• A fiscal stimulus with easy money and a growing economy is an unwise policy mix
• America's stimulus overload will leak out through trade accounts
• Expect downward pressures on the dollar and U.S. financial markets
• Rising economic and political frictions with key trade partners are inevitable

Dr. Michael Ivanovitch | @msiglobal9

https://www.cnbc.com/2017/12/03/gop-tax-plan-is-a-gift-to-china-japan-and-germany--commentary.html

[Dashinka 24,505]

From the linked article (https://www.cnbc.com/2017/12/03/gop-tax-plan-is-a-gift-to-china-japan-and-germany--commentary.html) "The relationship between tax cuts and the U.S. economy's external sector is simple: A reduction of income tax liabilities raises households' disposable income, which drives personal consumption, residential investments and, indirectly, business capital outlays — the main segments of the economy that represent 85 percent of America's GDP. All that new purchasing power then leads to rising demand for imports, while the expanding domestic markets lower the pressure on businesses to sell their goods and services abroad."

 

So the argument is that we need to confiscate people's money and restrict personal disposable income so they don't spend too much and increase the economy (both domestic and imports)? 

 

 

[Amica Nostra 4,803]

7 hours ago, Bill & Katya said:

From the linked article (https://www.cnbc.com/2017/12/03/gop-tax-plan-is-a-gift-to-china-japan-and-germany--commentary.html) "The relationship between tax cuts and the U.S. economy's external sector is simple: A reduction of income tax liabilities raises households' disposable income, which drives personal consumption, residential investments and, indirectly, business capital outlays — the main segments of the economy that represent 85 percent of America's GDP. All that new purchasing power then leads to rising demand for imports, while the expanding domestic markets lower the pressure on businesses to sell their goods and services abroad."

 

So the argument is that we need to confiscate people's money and restrict personal disposable income so they don't spend too much and increase the economy (both domestic and imports)? 

 

 

No that is not the argument.

[jg121783 3,915]

7 hours ago, Il Mango Dulce said:

No that is not the argument.

It seems like it is. I don't take these so called economists seriously that say the economy growing too much is a bad thing. These are the same people that claimed the stock market would crash if Trump was elected. 

[Póg mo 1,749]

16 hours ago, Bill & Katya said:

From the linked article (https://www.cnbc.com/2017/12/03/gop-tax-plan-is-a-gift-to-china-japan-and-germany--commentary.html) "The relationship between tax cuts and the U.S. economy's external sector is simple: A reduction of income tax liabilities raises households' disposable income, which drives personal consumption, residential investments and, indirectly, business capital outlays — the main segments of the economy that represent 85 percent of America's GDP. All that new purchasing power then leads to rising demand for imports, while the expanding domestic markets lower the pressure on businesses to sell their goods and services abroad."

 

So the argument is that we need to confiscate people's money and restrict personal disposable income so they don't spend too much and increase the economy (both domestic and imports)? 

 

 

Yes kind of like eating a lot of sugar. Of course when the sugar runs out.... maybe that's the general idea. Plump up the economy and hope the economy crashes on someone else's watch.

[jg121783 3,915]

17 minutes ago, Póg mo said:

Yes kind of like eating a lot of sugar. Of course when the sugar runs out.... maybe that's the general idea. Plump up the economy and hope the economy crashes on someone else's watch.

More like feeding the economy t bone steaks when the lefties want to feed it ramen noodles.

[Dunngary 37]

More like deflecting when the argument fails.

[Voice of Reason 10,298]

2 hours ago, Dunngary said:

More like deflecting when the argument fails.

It seems like the word “deflect” is the main topic of the majority of your posts.  Do you have anything else to add, or is that about the sum of your input?

[TBoneTX 45,294]

3 hours ago, jg121783 said:

t bone

[perks up ears at possible citation]

[jayjayj 571]

6 hours ago, Póg mo said:

Yes kind of like eating a lot of sugar. Of course when the sugar runs out.... maybe that's the general idea. Plump up the economy and hope the economy crashes on someone else's watch.

Why would Trump want the economy to crash in the future?  That just doesn't make any rational sense.

[Dashinka 24,505]

7 hours ago, Póg mo said:

Yes kind of like eating a lot of sugar. Of course when the sugar runs out.... maybe that's the general idea. Plump up the economy and hope the economy crashes on someone else's watch.

So you are saying we need to government to tell us how to live?  I suppose some might be happy with ~2% growth over the past eight years.

[Póg mo 1,749]

48 minutes ago, Bill & Katya said:

So you are saying we need to government to tell us how to live?  I suppose some might be happy with ~2% growth over the past eight years.

So you are saying that you are reading something that isn't there?

[Amica Nostra 4,803]

10 hours ago, jg121783 said:

It seems like it is. I don't take these so called economists seriously that say the economy growing too much is a bad thing. These are the same people that claimed the stock market would crash if Trump was elected. 

Literally, the same people? I don't think you have that on record. 

 

What is it with society today that we have become disdainful of expertise that comes from traditional intellectual disciplines? "So called economists", "so called scientists". Its not that we debate or disagree with specific points, we now know better than they do.  I really don't get it.

[Dashinka 24,505]

30 minutes ago, Il Mango Dulce said:

Literally, the same people? I don't think you have that on record. 

 

What is it with society today that we have become disdainful of expertise that comes from traditional intellectual disciplines? "So called economists", "so called scientists". Its not that we debate or disagree with specific points, we now know better than they do.  I really don't get it.

It may be due to the fact that most of the expertise we see in the media today is tinged with political bias, this coupled with the fact that just self promoting oneself as an expert doesn’t really mean one’s opinion is valid.  You know what they say “opinions are just like...”. Regardless if they come from an expert or not.

[Amica Nostra 4,803]

4 minutes ago, Bill & Katya said:

It may be due to the fact that most of the expertise we see in the media today is tinged with political bias, this coupled with the fact that just self promoting oneself as an expert doesn’t really mean one’s opinion is valid.  You know what they say “opinions are just like...”. Regardless if they come from an expert or not.

I am not addressing one off debates in public, I am talking about the wholesale assault on the body of knowledge in the physical and social sciences. The consensus from economists is that this will add a Trillion in debt, "well what do they know"? Climate change research is another, we cannot even use the words climate change when writting a federal grant.