Tag: U.S. economy slowing

Slowing economy complicates campaign messaging for Trump

The Hill logoPresident Trump is heading into the 2020 campaign with a resilient economy behind him and new trade deals under his belt, counting on both to help bolster his reelection odds.

But as Trump claims credit for extending the longest-ever stretch of U.S. economic prosperity, recent government figures show he is falling far short of his promise to accelerate the economy.

Trump took office on a pledge to expand gross domestic product (GDP) at least 3 percent a year. And while he came close to that mark in 2018 through tax cuts and higher government spending, growth slowed to 2.3 percent last year, the weakest annual pace since he took office, according to Commerce Department data released Thursday. Continue reading.

Deficit widens, economic growth slows in new CBO outlook

Repeal of health care taxes the largest driver of 10-year deficit increase, according to projections

The Congressional Budget Office projects higher deficits for this year and the coming decade, with a fiscal 2020 deficit of $1.015 trillion — $8 billion higher than the agency estimated last August.

The fiscal 2019 deficit was $984 billion, by comparison.

Over the next decade, the cumulative deficit outlined in the agency’s latest budget and economic outlook released Tuesday is estimated at $12.4 trillion, $160 billion more than the earlier projection. Continue reading.

White House officials eyeing payroll tax cut in effort to reverse weakening economy

Washington Post logoSeveral 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 growing concerns about the economy among President Trump’s top economic aides.

The talks are still in their early stages and have included a range of other tax breaks. The officials also have not decided whether to formally push Congress to approve any of these measures, these people said, speaking on the condition of anonymity because they were not authorized to disclose internal discussions. But the White House increasingly is discussing ideas to boost a slowing economy, they said.

Even though deliberations about the payroll tax cut were held Monday, the White House released a statement disputing that the idea was actively under “consideration.”

View the complete August 19 article by Damian Paletta on The Washington Post website here.