President Donald Trump, in a speech Wednesday, touted his administration’s accomplishments on the economy, claimed the policies proposed by Democrats would lead to a “steep depression,” and characterized November’s presidential election as a choice between “a socialist nightmare and the American dream.”
Trump spoke from the White House Rose Garden to the Economic Clubs of New York, Pittsburgh, Florida, Washington, Chicago, and Sheboygan, Wisconsin, telling them that, in the 2020 election: “The choice facing America is simple. It’s the choice between historic prosperity under my pro-American policies, or very crippling poverty and a steep depression under the radical left. And that’s what you’ll have, is a depression.”
“I will deliver optimism, opportunity, and growth. They will deliver pessimism, stagnation, decline, and very high taxes,” Trump said, adding, “simply put, it’s a choice between a socialist nightmare and the American dream.”
Trump said that, if he wins his reelection battle, he would continue lowering taxes for businesses and families, and that he would seek to reduce U.S. dependence on Chinese manufacturing and bring jobs back to the United States.
“We are going to be cutting taxes further, and that includes business taxes, but it includes especially middle-income taxes,” he said. “We are low taxes. We are going to continue to be low taxes.”
While it’s not clear exactly what Trump’s tax policies would include, the president previously said he would cut the top capital gains tax rate from 20 percent to 15 percent. An analysis of Trump’s campaign plan by the Committee for a Responsible Federal Budget (CRFB), a nonpartisan think tank, found that, under a base case, he would cut taxes by around $1.7 trillion over the next 10 years. This includes reducing individual taxes by around $1.25 trillion, tax breaks of around $50 billion, expanding Opportunity Zones that allow investors to reduce taxes by around $50 billion, and increasing expensing for essential industries that would reduce taxes by around $350 billion.
The committee found that Democratic nominee Joe Biden would, under a base case, raise taxes by $4.3 trillion over the next decade. Biden, who said he wouldn’t raise individual taxes on those earning under $400,000 per year, is estimated to raise corporate taxes by $1.8 trillion, increase individual taxes by $1.4 trillion, raise the Social Security payroll tax maximum to the tune of $900 billion, establish a “financial risk fee” of $100 billion on big banks, and increase tax revenue by $100 billion by improving tax compliance.
The U.S. Constitution gives Congress the power to raise or lower taxes, so Trump’s and Biden’s economic agendas will be subject to the dynamics of which party controls the House and the Senate.
Trump also said in his remarks Wednesday that, “We will make America into the manufacturing superpower of the world, ending reliance on China once and for all.”
He said he would reward companies that move their jobs to the United States and punish firms that oppose the measure.
“We will keep taxes low for companies that move jobs to America, and we’ll impose steep tariffs on any company that leaves,” he said. “They want to leave? They want to make our product and then sell it back after firing everybody? Not going to happen. They will be tariffed,” Trump added.
Trump also spoke against the strict lockdowns and restrictions imposed by states in the face of the CCP (Chinese Communist Party) virus outbreak, saying: “We must allow lower risk Americans to resume normal activity. The unscientific lockdowns pushed by left-wing politicians are needlessly destroying millions of lives. They decimate livelihoods and lead to suicide, drug overdose, depression, heart disease, delayed medical treatments, and reduced life expectancy.”
Trump also issued a warning that if he loses the election, then “China will own the United States.”
“China unleashed the virus onto the world, and only a Trump administration will hold them accountable,” he added.
Jack Phillips contributed to this report.