- The Trump administration promised to reduce the US deficit to 3%.
- How Trump approaches his tax cut plans will matter, a Pimco economist wrote in the Financial Times.
- Trump’s government waste cutting program and tariffs could also add billions to the US budget.
Washington’s ballooning debt has prompted a lot of fear among economists and market experts, but there are ways Donald Trump’s incoming administration can mitigate the impact.
Though the president-elect has pledged policies that could exacerbate issues with the debt and deficit levels, Pimco economist Tiffany Wilding says Trump’s exact approach to his policy proposals will be the most important factor.
First, Trump can adjust tax policy in a way that doesn’t bring fiscal chaos to Washington.
Trump doesn’t have to be overambitious about extending his signature Tax Cuts and Jobs Act beyond next year’s expiration, Wilding wrote in an op-ed for The Read more…
