Why All Ideologies Should Be Happy The Economy Is Doing Well
CNBC has just informed us that President Trump’s economy, thus the stock market, is performing much better than all past Presidents.
They based that statement on the fact that, according to Bespoke Investment Group, who looked as far back as 1928 to determine the average S&P 500 market return of presidents three years into their term, was 23%. President Trump’s rate of return is over 50%.
The unemployment rate is currently 3.5% which is the lowest rate since 1969.
We then find that the Wall Street Journal published the following on December 27, 2019:
Wages for rank-and-file workers are rising at the quickest pace in more than a decade, even faster than for bosses, a sign that the labor market has tightened sufficiently to convey bigger increases to lower-paid employees.
In fact the wages for non-supervisory employees, who make up 82% of the workforce, are rising at the fastest rate in more than a decade.
They went on to state:
Pay rates of the bottom 25% of wage earners rose 4.5% in November from a year earlier, while wages for the top 25% of earners rose only 2.9%, per data from the Federal Reserve Bank of Atlanta...The bank also found that the rate of pay rises for low-skilled workers matched those for high-skilled workers last month for the first time since 2010.
Why should everyone celebrate this and reward President Trump and the Republicans with their vote? More than likely you benefited from this economy. If you own an IRA, 401K, mutual fund, pension or really any financial instrument, those financial accounts increased by quite a lot. You may also be one of the many who received a raise or even a higher than normal one.
Also, everyone in the Democratic Party who loves to spend taxpayer dollars should be very happy. Due to the increased economic activity, the tax dollars that have been flowing into the treasury have increased by 4%. More tax dollars means more to waste on wasteful projects. Now even the Republican Party has been spending at a record pace, apparently they now believe like the Democrats and that is you need to buy votes to stay in power. Yes the taxes flowing into our treasury has increased by 4% but our spending has increased by 7% causing increased deficits and debt.
No matter what Party is in Power when these great economic times are occurring we should all be grateful for them. In the end our number one priority should be national security followed closely by our economy. Without a great economy we cannot pay for our security and all the other needed and not needed programs and projects.
That being said, if you are a Democrat and/or a bleeding heart, then a great economy equals increased prosperity and under President Trumps the lower income classes are receiving more of that benefit than the higher income classes. Also for the bleeding hearts an increase in taxes flowing into our treasury means more money for you to spend.
Republicans already know this and that is why they support President Trump’s policies when it comes to the economy and many other issues are highly supported by them.
My hope is that the Democrats do not bite off theirs and our noses to spite their face this November.