We have witnessed a very exciting event this week. The Democratic Party has nominated its first female candidate for president. She gave a powerful speech outlining some of the things that she wants to do as president. Women of all ages all over the country are celebrating.
“The upshot of our analysis is that Secretary Clinton’s economic policies when taken together will result in a stronger U.S. economy under almost any scenario.”
They used a model similar to what the Federal Reserve and the Congressional Budget Office uses. They say her plans on immigration will bring in more skilled workers. Her paid family leave proposal would bring in many workers as well.
If she is elected and Congress opposes her, then we may not see these plans implemented. Moody’s report also said:
“Evident from her proposals is the belief that the country needs to invest more in education, infrastructure and workers, and that the well-to-do, and to a lesser degree financial institutions and businesses, should pay for it.”
“While her budget arithmetic does not completely add up, it is pretty close, and the nation’s debt load under her plan is no different than under current law.”
Moody’s also did a similar report with Donald Trump’s (R-NY) plans. They predict that Drumpf’s plans would send us into a longer recession than the Great Recession. Around 3.5 million people would lose their jobs. The unemployment rate could jump back up to 7 percent.
Trump’s ideas would cause some major problems. His idea to put big taxes on imports from Mexico and China would hurt growth and cause prices of products to rise. Deporting 11 million immigrants would hurt the businesses that employ them. He also wants to lower individual tax rates while not touching Social Security and Medicare. He could add trillions more to the debt that we already have.
Their report said:
“More than one-third of the proposed tax cuts on personal income will go to the top 1% of income earners, with the average taxpayer in this group receiving a reduction in their tax bill of $275,000. Taxpayers in the bottom 99% of income earners will receive a tax cut of less than $2,500.”
Here is a news clip on the topic: