Here is why I have a clear difference with Republicans who desire, should they gain the majority in congress, to make the tax cuts and adjustments enacted in the 2017 overhaul of the tax system permanent in the country. I know these wild-eyed Trumpsters with one car and a mortgage cheer, not knowing the tax scheme under the single term of Donald Trump was never aimed to assist them. FAR from it!
What high school Econ 101 taught us in classrooms is that such a move would further stimulate the economy at the same time the Federal Reserve is trying to rein in demand against 40-year-high inflation. The tax cuts in the 2017 law added $1.9 trillion in government debt through 2028. The method of paying for these cuts will be deficit-financed, and as such those ideas chased on the campaign trail with rabid fervor about tax policy will play into inflation. I thought the GOP voters were asking for inflation to be dealt with by voting for Republican candidates!
Readers of Caffeinated Politics know I have been closely following British pols for much of this year, and from the day Boris Johnson imploded, applauded the words of Rishi Sunak. He comes to mind again as the midterm elections draw near. It was his reasoned tone and views on not committing to tax cuts and playing to the lowest common denominator that caught my attention and respect. He refused to play to the Conservative Party, and while they opted for Liz Truss and her fanciful ideas about fiscal policy, he had the last laugh. I say this as the Brits found out a great deal about what deficit-financed tax cuts can do. In their case, it brought down an entire government!
Measures of such enormity should be discussed with more seriousness by the GOP rather than just playing to the lowest level of the conservative base. They may not care to be serious about issues with the Trump base, (they have proven to fall for anything) but the majority of the nation is aware of the dangers and harm that the GOP can do to the national economy.
CAFFEINATED POLITICS 