Despite the level of optimism among millions of Americans and the United States President’s promise to make America great again, one former presidential candidate is warning that Donald Trump may actually weaken the economy with “injurious policies.”
Speaking in an interview with CNBC last week, former Texas Republican Congressman and three-time presidential candidate Ron Paul explained that the president’s massive infrastructure and military spending will lead to greater debt levels and prompt the Federal Reserve to intervene.
Ultimately, according to Dr. Paul, the U.S. will face a “downturn,” something that will be problematic for the new administration.
“With his massive increase in infrastructure and the military, I think there’s going to be a lot more spending. The debt is going to be much bigger [and] I think that will put more pressure [on the Fed],” Paul said.
“You have good times, and then you have bad times to compensate for the artificially good times. So we’ll have a downturn and that will be a real challenge for the new administration.”
When asked about the proposed 20 percent border tax on Mexican goods, Dr. Paul said that he was concerned about “retaliation” from other nations and the “burden it’s going to place on the consumer.”
Despite warnings from free market proponents, it seems Trump has watched the Broadway hit “Hamilton” way too many times. He is turning into Alexander Hamilton more and more; first with higher spending and now high tariffs, both policies that Hamilton favored.
As legendary free market commentator Henry Hazlitt wrote:
“As a postscript to this chapter I should add that its argument is not directed against all tariffs, including duties collected mainly for revenue, or to keep alive industries needed for war; nor is it directed against all arguments for tariffs. It is merely directed against the fallacy that a tariff on net balance “provides employment,” “raises wages,” or “protects the American standard of living.” It does none of these things; and so far as wages and the standard of living are concerned, it does the precise opposite. But an examination of duties imposed for other purposes would carry us beyond our present subject.”
A message to Trump: don’t become Hamilton.
This was planned before President Trump was even considering the run for office.
He will be the “fall guy” when this happens, he was set up for it by those (including the last admin[s]) who want this nation to be bankrupt so to impose a World Currency, along with a World Government and International Banking System under the IMF to control such.
The People need to prepare themselves for this coming “downturn” which should be worse than any of the pevious ones this nation has faced.