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Trump once again shows he doesn’t understand economics
The stimulus package his administration is proposing includes all the wrong things and none of the right things
Another day, another crash in the stock market.
When Trump went on TV to reassure the American public feeling panicky over the coronavirus pandemic, stock futures dropped precipitously. Today, Trump proposed a trillion dollar plus stimulus package, potentially including two one thousand dollar checks to American households. Again the stock market’s reaction: freefall.
In fact, the stock market has now fallen to a low it has not seen since Trump’s inauguration. So much for the Trump stock bounce. You’d almost think investors don’t have faith in Trump’s leadership.
The fact is that they would be stupid to have any faith in him. First, he doesn’t deliver what he promises. The stock market did rally when he proposed a payroll tax cut. It collapsed again when it became clear he didn’t have the votes to pass one, even in the Republican-controlled Senate.
Trump’s legislative ineffectiveness is only compounded by the fact that Wall Street, or anybody else for that matter, can’t trust anything Trump says anyway. As if his credibility weren’t already in tatters, today he…
