Reuters reports on Goldman Sachs' latest release on U.S. economic growth. It would be far better assured, says Goldman, if the Democrats keep the White House and win both congressional chambers in November.
Under a GOP government, so to speak, the economy and job growth — "10,000 a month higher than if Trump wins with a divided government, and 30,000 higher than with a Republican sweep," ventures Goldman — would take "a hit" from his harebrained tariffs on imports and harshly restrictive immigration plan. More like a powerful lick upside the economy's head, I safely predict.
Goldman writes that "we estimate that if Trump wins in a sweep or with divided government, the hit to growth [by both stupidities cited above] would outweigh the positive fiscal impulse." I pondered over the investment bank's use of impulse. I decided it's meant as a positive fiscal "daydream."
Goldman believes that a Trump victory and his tariff zaniness on auto imports alone "would raise core inflation." That, as I see it, is but a contained euphemism. His all-round tariffs would send inflation to the mostly oxygen-deprived stratosphere. Great view, horrendous outcome.
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