Mr. Trump continually cites record highs in the New York Stock Exchange and record lows in unemployment as indicators of the "best economy in our history." Most economists agree that these aren't the most important indicators. In fact, there are cautionary indicators that show cracks below the surface.

At the end of the third quarter of 2019:

• Corporate earnings down 2.7 percent and investment down 3 percent;

• Corporate debt was $10 trillion (47 percent of our total economy), $4 trillion of which is due in five years, and $107 billion which is in danger of default;

• Corporations are adding debt faster than economic growth;

• Personal unsecured debt increased 12 percent to $305 billion;

• Home sales flat for the past three years;

• A survey of 554 cities reported the lowest tax collections in three years; and

• 40 percent of U.S. households cannot withstand an economic crisis over $400.

These data indicate that corporations used historical low interest rates to increase debt, so that they could buy back their own shares and increase dividends to their investors rather than investing in their employees and corporate development.

The future looks ... ?

Jerome Bourgeois

League City

Locations

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(33) comments

Don Schlessinger

"40 percent of U.S. households cannot withstand an economic crisis over $400." We knew that in 2012.

Charles Douglas

[thumbup]

Carlos Ponce

Now Jerome compare that to the 8 years of the last administration. Your future's so bright you have to wear shades! It would be brighter with a fiscally responsible House who creates the Federal budget. But that will come after the next election.

Charles Douglas

[thumbup]

Jessie Brantley

Jerome, first off, your reported facts are weak, at best, and incredibly misleading. Your article indicates that the current administration is somewhat responsible for our nation’s debt, which is laughable. Second, every culture group within this country has seen their station improve as a result of the Trump economy.

You may be able to attack Trump on many fronts, however, to attack him on the economy shows naïveté and how out of touch some folks can be when they only spout talking points and what talking heads tell them to think.

Charles Douglas

[thumbup]

Bailey Jones

Every administration bears responsibility for their deficit, which is their share of the debt. Trump's deficit last year was just under a $trillion. He owns that. (Well, not really, our grand kids own it.)

Carlos Ponce

"Trump's deficit last year was just under a $trillion." Every deficit from presidents 1 to 43 was under a "$trillion". Obama gave us the first over a "$trillion" deficit.

Obama's deficits:

2009 $1.413 Trillion House D Senate D

2010 $1.294 Trillion House D Senate D

2011 $1.300 Trillion House R Senate D

2012 $1.087 Trillion House R Senate D

2013 $679 Billion House R Senate D

2014 $485 Billion House R Senate D

2015 $438 Billion House R Senate R

2016 $585 Billion House R Senate R

Trump is elected President.

2017 $665 Billion House R Senate R

2018 $779 Billion House R Senate R

2019 $1.091 Trillion House D Senate R I smell a D in the House!

Bailey posts, "Every administration bears responsibility for their deficit, which is their share of the debt." True, but notice the Trillion dollar deficits usually came with a D House. R Houses with an R president gives us deficits under "$trillion". Throw a D into the mix and.......

Gary Miller

When two branches of government are R deficits are less than $trillion. When D controls two branches or more deficits are over $trillion +. Don't like

$trillion+deficits? Don't vote for D. Big $trillion+ deficits follow three D governments and big tax increases.

Emile Pope

Actually that's because the Republicans ran up the deficit and left the Democrats to pay for it after they were ousted...

Carlos Ponce

Emile posts, "Actually that's because the Republicans ran up the deficit and left the Democrats to pay for it after they were ousted..." If you really believe that nonsense then show us the numbers to back that claim. If you do not then we understand that it was not true.

Emile Pope

You already did genius...

Carlos Ponce

If you really believe that nonsense then show us the numbers to back that claim. If you do not then we understand that it was not true. Since Emile refuses he knows it's false.

Jim Forsythe

President Trump campaign on a promise to not just reduce the annual deficit, but to balance the budget outright and “relatively quickly.”

President Trump and congressional Republicans pushed through a package of tax cuts financed almost entirely through deficit spending—tax cuts that benefit corporations and the rich at the expense of the middle class and the working poor, no less. Absent any other budgetary changes, the legislation will add an estimated $1.8 trillion to the country’s debt over the next 10 years.

President Trump is just doing what Presidents George W. Bush and Ronald Reagan did before him, aided by Republicans in Congress. Both swore to balance the budget or to bring down the debt. Both signed legislation that increased deficits instead, primarily through tax cuts and increased military spending.

Jim Forsythe

September 26, 2019

The U.S. Treasury reported that from fiscal year 2017 to FY 2018, the federal budget deficit increased by $113 billion while corporate tax receipts fell by about $90 billion, which would account for nearly 80 percent of the deficit increase. Though the Trump administration and the Congressional Budget Office (CBO) projected corporate revenues to bounce back somewhat in FY 2019, there is no sign yet that that is happening, with 11 of 12 months having already been reported for FY 2019.

TCJA was that the legislation would allow U.S. firms to access profits that had been “trapped” overseas by the old international tax system, enabling them to invest more in the United States. These profits were never really trapped overseas, and past experience had demonstrated that extending special low tax rates to past overseas profits would not boost jobs or investment in the United States.

Two provisions—known as GILTI and FDII, respectively—firms can reduce their tax liability by locating more tangible assets (factories, equipment) overseas relative to the United States. For this reason, a group of leading tax scholars warned that the design of the GILTI regime “pushes U.S. firms in the direction of locating real assets (and accompanying jobs) overseas rather than domestically.” The CBO echoed this concern, noting that the two key international tax provisions of the TCJA “may increase corporations’ incentive to locate tangible assets abroad.”

The impact of tax cuts. They immediately reduce revenue for each dollar cut. Proponents of supply-side economics argue that the government will recoup that loss over the long term by boosting economic growth and the tax base. But the National Bureau of Economic Research found that only 17% of the revenue from income tax cuts was regained.

 It also found that 50% of the revenue from corporate tax cuts was lost.

Jim Forsythe

The impact of tax cuts. They immediately reduce revenue for each dollar cut. Proponents of supply-side economics argue that the government will recoup that loss over the long term by boosting economic growth and the tax base. But the National Bureau of Economic Research found that only 17% of the revenue from income tax cuts was regained.

 It also found that 50% of the revenue from corporate tax cuts was lost.

Carlos Ponce

"17% of the revenue from income tax cuts was regained" "50% of the revenue from corporate tax cuts was lost"

And where did that money go? To hire people, raise their income . That 17% came from hundreds of thousands of jobs, the 50%- a lesser number of corporations. Bottom line revenue is up.

Mike Zeller

It doesn't matter if revenue is up if spending more than doubles that revenue. Total revenues so far in Fiscal Year 2019 increased by 3 percent ($69 billion), while spending increased by 7 percent ($208 billion), compared to the same period last year.

Carlos Ponce

Spending bills originate in the.......HOUSE OF REPRESENTATIVES, which is currently under people who like to spend our money on non-Constitutional mandated items.

Jim Forsythe

Where is some of the money going? Share buybacks, which hit a record $1.1 trillion in 2018.

Revenues from the corporate tax fell by 31 percent in 2018 to $204 billion from $297 billion. “This was a more precipitous decline than in any year of normal economic growth in U.S. history.

Out of the country’s largest 560 publicly-held companies at least 60 companies reported that their 2018 federal tax rates amounted to effectively zero, or even less than zero, on income earned on U.S. operations, according to an analysis released today by the Washington, D.C.-based think tank, the Institute on Taxation and Economic Policy. The number is more than twice as many as ITEP found roughly, per year, on average in an earlier, multi-year analysis before the new tax law went into effect.

This is where 20.7 billion of the money went.-----The identified companies were “able to zero out their federal income taxes on $79 billion in U.S. pretax income,” according to the ITEP report. Instead of paying $16.4 billion in taxes, as the new 21 percent corporate tax rate requires, these companies enjoyed a net corporate tax rebate of $4.3 billion, To compile the list, ITEP analyzed the 2018 financial filings of the country’s largest 560 publicly-held companies.

We pay John Deere to be in business! This is just one example of many. ----John Deere, reported earning $2.15 billion in U.S. income before taxes. It owed no U.S. taxes in 2018 and reported that it was owed $268 million from the government.

I expect to pay my fair share of income tax. It is not pleasant but it’s necessary so I don’t mind. The operative word here being “fair”. And I don’t believe it is fair that corporations that net billions are entitled to a refund, a credit, or a rebate for a couple of reasons: they are not circulating a large amount of the money, that would otherwise be paid into the federal reserve, here at home.

These companies are operated by individuals that, yes indeed, CAN pay taxes. They find ways not to. And we are facing a deficit of over $1 trillion per year.

Considering all the corporate tax breaks that came from the POTUS lowering the tax rate so drastically, that enabled them to avoid paying any taxes, that even entitled some of them to a hefty refund…

…why are the prices of goods & services continuing to rise??? Do you wonder why costs have not gone down, not exponentially, but at all? That’s rhetorical, of course. We know why – another no-brainer.

Mike Zeller

Who signs the bills? TRUMP [ohmy]

Carlos Ponce

You really need to study basic high school government.

Jim Forsythe

Carlos, you are trying to make it the sole responsibly of the House to pass a budget.

Spending bills originate in the.......HOUSE OF REPRESENTATIVES but that is never the finial outcome. But do really bills originate in the House , or do they start with the president when they send president’s Budget Proposal.

With much and often heated debate, Congress hacks away at the president’s Budget Proposal to come up with its own version, known as the Budget Resolution. Like any other piece of legislation, the House and Senate versions of the Budget Resolution must match.

Should the programs or funding levels approved by Congress vary too greatly from those set by the president in his or her Budget Proposal, the president could veto one or all of the spending bills.

Bailey Jones

Jim, it has nothing to do with how budgets are made or how government works, and everything to do with the obsequious willful ignorance of Trumpsters who cannot, and will not, ever admit a flaw in the person or policies of their dog and savior, Donald Jesus Trump. It's a tiresome waste of virtual ink to even try. In their eyes, He is infallible.

jimmy winston

Jim nailed it. Carl has no response now! He's run out of Whataboutisms!

Carlos Ponce

"Carlos, you are trying to make it the sole responsibly of the House to pass a budget." passing a Budget - No. Creating a budget - with the current political climate trying to cut the growth results in claims like " REPUBLICANS ARE CUTTING MEDICARE, SOCIAL SECURITY, etc." All lies, but even in these forums we hear locals parrot these Liberal falsehoods. Trump actually INCREASED spending on Social Security, Medicare, etc but these were reported as CUTS since they were at a smaller rate of increase than what Liberals wanted. We get WAPO articles like "What Trump cut in his agency budgets, Trump federal budget 2018: Massive cuts to the arts, science and the poor". And the local Liberal GCDN forum posters repeat this false claim. I don't think I need to mention their names, you know who they are. And when the Senate or President tries to trim we get cries of "REPUBLICAN BUDGET CUTS HURT THE POOR". If the President promises to veto and not sign "PORKULUS" it's "TRUMP WANTS TO SHUT DOWN GOVERNMENT !"

Carlos Ponce

Bailey what you post is NONSENSE. The same thing happened when Ronald Reagan, George HW Bush, and George W BUSH were presidents. This is not a Trump thing. You were alive then but apparently have forgotten the SAME EXACT THING happened in those administrations.

jimmy winston

The farmers are certainly in a better place after receiving $28B in bailout from Trump for a problem that he caused himself. If we are a true capitalistic society, why did the federal government step in to save failing businesses? Socialism is bad though!

Charles Douglas

"Trumpsters who cannot, and will not, ever admit a flaw in the person or policies of their dog and savior, Donald Jesus Trump. It's a tiresome waste of virtual ink to even try. In their eyes, He is infallible."

Mr. Jones posted the words in quotation marks above. You and others can make light of President Trump, Jesus, and God Almighty all you want, and it is not going to change NOTHING!!! YALL are going down!! This HOAX and FRAME job of an Impeachment is blowing up in yall's faces as I type this post! I have said this once, twice, but I will say it again because Democrats, Like Goliath,and the PHILISTINES even like the Egyptians JUST DONT GET IT!!! You cannot hurt who GOD is HELPING, and you CANNOT curse who GOD is BLESSING!! I am setting back laughing my behind off at you guys, because of all the human ....devastating power ...mustered from multiple countries, including the most powerful one on earth, yall still have not layed a glove on Trump!! Can't somebody besides the Trumpters on this forum see .....I mean really see WHAT IS TAKING PLACE? I deduce that you are a smart guy, but if I were you, I'd quit demeaning the name of God's son, and dragging it through the mud of ridicule. Just some good advice, but feel free to do as you please, free country.

Jim Forsythe

December 06, 2019 ----Rudi Giuliani's associates, Lev Parnas and Igor Fruman are set to face additional charges after being indicted for making illegal campaign contributions, Lev Parnas has entered into the early stages of cutting a plea deal. Both Lev and Igor also helped Giuliani search for leverage to help convince Ukraine to look for dirt on Joe Biden.

Parnas and his lawyer have begun cooperating with the house impeachment inquiry and has allegedly turned over video graphics and audio evidence to the House Intelligence Committee. As detailed in the 300-page report released by the House Intelligence Committee Democrats, Parnas cooperated with Giuliani in efforts to boost Trump's political fortunes ahead of the 2020 elections.

The investigations have determined that Parnas and Fruman have been helping Trump since April 2018. During the Super PAC dinner which was hosted at Trumps DC Hotel, Trump met Parnas and Fruman for the first time and told Trump that Ambassador Yovanovitch was hostile to Trump's policies. Marie Yavanovitch was the US Ambassador to Ukraine from 2016 to May 2019.

Oct. 2019---The two arrested men (Lev and Igor) sent a letter to the House impeachment inquiry, “confirming that they assisted Mr. Giuliani in connection with his representation of President Trump.”

Carlos Ponce

[yawn][yawn][yawn][sleeping]

Emile Pope

The president is a crook/criminal...

Carlos Ponce

Did Trump steal your heart again, Emile?

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