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US elections and finance

November 6th, 2024 at 05:00 am

I am just wondering what people think will happen to the economy after the election? I don't want to talk about the election or results but I am guessing whoever gets in it will affect the economy in some way not just in the US but around the world so just wondering if people thing the economy will improve or not?? 

I know they are saying here in australia our inflation rate is the lowest it has been in 3.5 years so hoping it continues downwards as does interest rates but I know the election will affect our economy in some way...just don't know how much since we are close allies.

8 Responses to “US elections and finance”

  1. Tabs Says:
    1730876833

    During Trump's first administration in 2016, he gave the top 1% a major tax cut, from double to quadruple of everyone else. That saved a lot of money for them, but it also allowed the national deficit balloon by at least a trillion and likely more.

    He also boasted that he was "The Tariff Man", entering an economic tussle with China. Unfortunately, this leads to overall increases in prices for consumer goods. The goal of tariffs is to help insulate domestic businesses from foreign competition, but whether it is effective or not, and how much so, remains controversial.

    Trump's Project 2025 is also laying the groundwork away from meritocracy, and more towards nepotism when it comes to key government positions. Having worked in federal government before, I have seen small but noticeable ripples of this throughout government jobs and positions.

    I think what worries me the most is what he will end up doing with NATO and Ukraine, losing the grip on the tenuous alliance we have in Europe, and how that may impact the Asian Pacific as well, which as you know includes Australia.

    Back to the economy, the majority concensus is that Trump will more likely to cause a bigger national deficit in the end, rather than reducing it.

    Bottom line is, no, I don't expect the US economy to improve under his leadership.

  2. Tabs Says:
    1730878355

    Oh! I also forgot about Elon Musk and Robert F Kennedy having the ability to change government regulations now, which I don't think will come out to anything good for the American people.... There is so much bad that I am dreading into the next four years.

  3. mumof2 Says:
    1730970122

    Well I guess we are going to find out what is going to happen now that he is in power

  4. rob62521 Says:
    1731013458

    If one listened to the campaign promises, life is going to be the best it's ever been. But I consider that a bunch of campaign promises. One can hope, but...

  5. Dido Says:
    1731026274

    Tabs has done a good job of laying it all out for you. Wall Street is bullish on Trump, so expect short-term US stock market gains. But tariffs and deportations will almost certainly increase inflation and prices, which are much of the reason he was elected. We are still waiting for final results on the House elections, but with Trump and a Republican Senate, they will be able to extend the Trump Tax Cuts & Jobs Act provisions, probably with provisions that will make taxes even lower. Whether they can pass a law for the next 10 years or make it "permanent" (there really is no such thing as permanent in the tax code since a later Congress can always change things) depends on whether the Republicans dominate the House as well. With a Republican House and Senate, they can enact a "permanent" tax cut; with Trump and a Republican Senate, they will end up doing what they did in 2017, using the "reconciliation" provision to pass a law that expires within 10 years. (Permanent acts require a "supermajority" of 60 in the Senate to pass, while temporary acts require 51 (50 Senators + the VP if they are the same party).

    With lower revenues, we are going to see a further explosion of the US federal debt. This year, for the first time in history, payments on the debt exceeded our military spending. This is due to things that both Trump and Biden did. There will be pressures to cut spending and Elon Musk has promised short-term hardships in return for long-term prosperity. All I personally can see is fiscal pain ahead for the next several years. But we'll have a Wall Street bubble first before Trump is in office and things start to change.

    Like Tabs, I am in dread about the next 4 years.

  6. LivingAlmostLarge Says:
    1731050878

    The republican party used to be the party of fiscal responsibility. They were about less spending, lower deficits, and smaller government. NOT anymore.

    Now both parties are about spending on what they want when they are in power and to hell with the deficit and anything else. The motto should "take as much as you can, when you can."

  7. mumof2 Says:
    1731205200

    I don't know what it is like over there as we have a much different govt system from you but I do know that our govt always changes because politicians enact change but it takes time to see the outcome from it...our liberals sell everything and privatize it so it looks like they make money for the country but then we are all charged so much more than any other country..when labor comes in they make changes to what has been changed but people get annoyed as it isn't fast enough for them....it's like you can't just come in and undo what has been done it takes time and money...its a never ending cycle...

  8. Amber Says:
    1731500567

    As a former republican I think things will get worst, tit will be i to the point people won’t notice right away.

    Under the first Trump administration, I paid more in taxes, and my salary did not increase.

    I’m just hoping that there is less chaos. Only time will tell

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