For days, Donald Trump and his surrogates have gone to great lengths to assure the public that the American economy is strong and there are no signs of a looming recession. Just yesterday, the Sunday talk show circuit was wall-to-wall with Trump optimists. Economic adviser Larry Kudlow said he didn’t see a recession on the horizon. Problem is, he said the same thing back in 2007 before the mother of all recessions.
So, maybe it’s time for a new strategy. From The Washington Post:
“Several senior White House officials have begun discussing whether to push for a temporary payroll tax cut as a way to arrest an economic slowdown, three people familiar with the discussions said, revealing the growing concerns by President Trump’s top economic aides”.
Unlike the last Trump/McConnell tax cut which was seen as a boon for the wealthy and corporations, this reduction would aimed at the middle class. Currently the payroll tax is capped at $132,900.
The talks are said to be in the early stages but would there be discussions at all if the economy was rock solid?