Trump's plans would cause 'lengthy recession,' cost millions of jobs: analysis [View all]

[TomCADem]

It is funny given the lack of specificity of Trump's proposals that Moody had to test Trump’s plans under three scenarios: one in which Trump is taken at face value and his plans are enacted exactly as he has described, a second where his policies are adopted but at a more modest level, and a third where a skeptical Congress scale back Trump’s plans due to “political realities.”

http://thehill.com/policy/finance/284095-study-economy-would-be-significantly-weaker-under-trump

Donald Trump’s economic proposals would isolate the United States, hurt its economic growth, increase the federal deficit and cost millions of American jobs, according to new analysis.

The grim findings from Moody’s Analytics state that the nation’s wealthiest would benefit the most from the presumptive GOP nominee's proposals, while middle- and lower-class Americans would be hurt the most.

“The economy will be significantly weaker if Mr. Trump’s economic proposals are adopted. Under the scenario in which all his stated policies become law in the manner proposed, the economy suffers a lengthy recession and is smaller at the end of his four-year term than when he took office,” the report said.

“By the end of his presidency, there are close to 3.5 million fewer jobs and the unemployment rate rises to as high as 7%, compared with below 5% today. During Mr. Trump’s presidency, the average American household’s after-inflation income will stagnate, and stock prices and real house values will decline.”