Donald Trump wants to use one of the few bullets we have to protect the economy to make up for his self inflicted recessionary, inflation driving, anti free trade tariffs.
First, our federal debt has become so large that fiscal policy – like the $5,000 stimulus floated by Elon Musk – is unlikely to affect demand.
Second, any inflationary spending policies will force the Federal Reserve to raise interest rates.
We are in a cycle that will continue until political pressure ends because that political pressure would have to come from courageous Republicans.
Opinion: Trump is actively tanking the economy. Why aren't Republicans stopping him?
Comments
When will Nicolle Wallace get some new material? #Stupid #DeadlineWhiteHouse
https://www.cnbc.com/2025/03/20/trump-says-the-fed-should-cut-rates-to-ease-the-economys-transition-to-his-tariffs.html
Second, any inflationary spending policies will force the Federal Reserve to raise interest rates.
Opinion: Trump is actively tanking the economy. Why aren't Republicans stopping him?