This is absolutely nuts, complete economic illiteracy. *BESSENT: ECONOMY BARRELING TO CRISIS IF TAX CUTS NOT EXTENDED *BESSENT: US FACING ECONOMIC 'CALAMITY' IF TAXES GO BACK UP *BESSENT SEES A 'SUDDEN STOP' IF US TAX CUTS NOT EXTENDED - ThreadSky

peark.es • 43 days ago

This is absolutely nuts, complete economic illiteracy.

*BESSENT: ECONOMY BARRELING TO CRISIS IF TAX CUTS NOT EXTENDED
*BESSENT: US FACING ECONOMIC 'CALAMITY' IF TAXES GO BACK UP
*BESSENT SEES A 'SUDDEN STOP' IF US TAX CUTS NOT EXTENDED

Comments

gdd9000.bsky.social•43 days ago

Not a serious person. Cabinet is full of clowns 🤡

umbrarchist.bsky.social•41 days ago

Ask ChatGPT what the effects would be of having made Accounting mandatory in the schools since 1950.

Adam Smith used the word 'education' EIGHTY Times in The Wealth of Nations. He wrote "read, write and ACCOUNT" FIVE Times.

Where have economists pointed out Smith's pithy remarks in 70 years?

aremay.bsky.social•43 days ago

This feels like them trying to negotiate with Congress and IDK if this strategy gets them anyone new on what will be a huge and unwieldy package?

incompetusrex.bsky.social•43 days ago

It sounds like someone’s conflating their personal finances with the US economy.

yourbrainonmoney.bsky.social•43 days ago

Worth examining how apocalyptic financial predictions tap into our cognitive biases. We tend to catastrophize changes to the status quo while underestimating our capacity to adapt. The same psychological pattern emerged around the fiscal cliff, debt ceiling, and countless other policy shifts.

peark.es•43 days ago

(A less popular corresponding view I hold on the TCJA is that extending it won't raise inflation much; this is true for the same reason that not extending it won't hurt growth much, specifically that tax changes on the highest income have little impact on spending)

mjlahaye.bsky.social•43 days ago

How much has the cut on corporate rates impacted the pump in valuations since 2017?

peark.es•43 days ago

negligible, it wasn't that big relative to how low effective rates were to begin with.

benbossler.bsky.social•43 days ago

I could be mistaken, but what I remember hearing is that the parts of the TCJA set to expire were the cuts for the middle class, and the cuts for the highest incomes were made permanent.

peark.es•43 days ago

depends on specific provisions. you can see a list here: https://crsreports.congress.gov/product/pdf/R/R47846

timbeckel.bsky.social•43 days ago

But will extending it raise long term rates by increasing the deficit?

atwilliams.bsky.social•43 days ago

(i’m with you on this and had been having a very hard time figuring out a purely macro reason to get het up about it)

peark.es•43 days ago

there are equity concerns but the macro case is weak. interestingly the FOMC is a LOT more focused on immigration and tariff shocks than tax policy.

airwolf.bsky.social•43 days ago

They should be. Those things are serious threats to both growth and price stability (threats, as in they will fuck them up).

The marginal tax rate on Billionaires would only be relevant if it went up like, a lot. And then I believe its effects on our macroeconomic situation would be *salutary*.

atwilliams.bsky.social•43 days ago

right, they're focusing on things that can bop around supply and demand of things consumed in a way that can show up in inflation, rather than on a purely distributional (which is not to say not important) question

peark.es•43 days ago

not *purely* distributional but overwhelmingly so yeah, exactly.

atwilliams.bsky.social•43 days ago

yeah there's a missing "more" in that reply

yup223.bsky.social•42 days ago

Just more of a stupidity virus going around amongst the right and the economic calamity we are headed for is made worse by those very same tax cuts

chrisarentz.bsky.social•43 days ago

Already angling for tax cuts (yeah extensions but cuts as far as budget projections are concerned). These guys only know the one tune when it comes to legislation and governing.

waynefryback.bsky.social•43 days ago

I say, "Good!" Let's shut the whole fucking thing down. We've effectively started already by reelecting that fat orange bag of shit, why stop now?

mushtaq44.bsky.social•39 days ago

Maybe they think they’re going to struggle to get the cuts through and are readying it an an excuse for the financial disaster that’s going to be caused by all Trump’s other policies?

traci-k.bsky.social•42 days ago

It was a complete failure, and threat to SOCIAL SECURITY.
A moron should be able to see taxing rich vs taxing poor.
https://www.cbpp.org/research/federal-tax/the-2017-trump-tax-law-was-skewed-to-the-rich-expensive-and-failed-to-deliver

cracklytoes.bsky.social•43 days ago

It does appear to fly in the face of reality, let alone any even disordered(cherry picked) economic history

mdbaccardax.bsky.social•43 days ago

I was thinking the same thing ... just incredible arrogance cloaked in econoimc patriotism.

loumannheim87.bsky.social•43 days ago

He's just like the others. Sacrificing their integrity at the altar of fealty.

omfproductions.bsky.social•43 days ago

For those of us not as plugged into finance... wtf is Bessent?

peark.es•43 days ago

https://en.wikipedia.org/wiki/Scott_Bessent

omfproductions.bsky.social•43 days ago

Thank you George. Appreciate your patience with us folks who do not know and you sharing the terminal news updates!

pppgrifter.bsky.social•43 days ago

🎻

capitaledgenyct.bsky.social•43 days ago

pandering to the Orange

newtoniang.bsky.social•43 days ago

Following tradition the conservatives/neocons/MAGA pushing for a brokerage clerk to become Treasury Secretary. We know how this is going to end; we have been here before a recession or a depression coming our way.

stevezorowitz.bsky.social•43 days ago

The stuff you have to pretend to believe to be a Republican...man, I just don't know.

richinnj.bsky.social•43 days ago

Tax cuts mostly targeted at people who have a lower marginal propensity to consume.

WTF?

peark.es•43 days ago

✅

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