How President Trump’s Policies Have Impacted the Global Economy
Trump’s Economic Plan Trump has promised major changes to his economic policies if re-elected. Among his proposals are high tariffs on imports, eliminating taxes on tips and Social Security benefits, and reducing the corporate tax rate. According to The Time, Trump is considering a universal tariff of between 10% and 20% on all imports, with tariffs of up to 60% on Chinese goods.
He argues that these tariffs would protect American jobs and reduce the country’s dependence on foreign imports. Trump has said that these policies would not result in higher prices for Americans, insisting that the costs would be borne by foreign producers. His previous term in office imposed tariffs on steel and aluminum, which he justified on the grounds of national security. Tax Cuts Trump has also proposed extending the tax cuts passed in 2017, as well as reducing the corporate tax rate from 21% to 15%.
He reiterated this in an interview with Fox News. "I'm cutting the corporate tax rate to 21%. I want to cut it to 15%," he said, claiming that this would stimulate job growth, especially for small businesses. But economists have also projected that Trump's tax cuts could increase the national debt. It is set to reach $5.8 trillion over the next decade. Energy Energy costs were a key issue in Trump's campaign. He has pledged to cut Americans' energy spending in half within a year, citing energy production as critical to lowering inflation.
Trump has also proposed expanding oil and gas drilling, while easing restrictions on power plants, as a way to lower fuel prices. He has said that gas prices could fall below $2 a gallon with increased domestic supply. Immigration If re-elected, Trump has indicated that he would prioritize mass deportations. He claims this would reduce housing costs and raise wages for American workers.
His campaign with running mate JD Vance included a commitment to end birthright citizenship for children of undocumented immigrants, a proposal that has raised concerns among immigrant communities from Latin America and South Asia. NATO Attitude In terms of foreign policy, Trump’s attitude toward NATO remains a sticking point. He has previously criticized the alliance and suggested reducing US involvement, which would undermine NATO’s collective security. Trump’s approach stands in stark contrast to the Biden administration, which has provided military and financial support to Ukraine. Trump has hinted at a potential shift, expressing interest in pressuring Ukraine to reach a peace deal on Russia’s terms.(Cay)
Source: CNBC
