Just within three days of taking the oval place, US President Donald Trump has been able to bring some striking policies and proposals on the table. On the same line, Trump also met a dozen of business tycoons with the aim of improving rapport between the government and business.
One of Trump’s core agendas was cutting corporate taxes to increase investment. Although this step would straightforwardly benefit the economy, it could have some unforeseen side effects. For example, the money saved due to low corporate taxes are not necessarily invested due to lack of business confidence.
Ignoring all the opposing arguments, Trump is repeatedly stressing on cutting taxes and bringing back jobs from the other rival countries. He said, “We are going to be imposing a very major border tax on the product when it comes in.”
As per Reuters, the meeting was attended by businessmen from different fields, including Ford’s Mark Fields and Space X’s Elon Musk. These bright minds were reportedly requested to make necessary recommendations in order to strengthen manufacturing in the US. Also, the meeting also brought about tax borders on the table.
Trump said, “We’re trying to get it down to anywhere from 15 to 20 percent. We think we can cut regulations by 75 percent. Maybe more.” In addition, president Trump went on to talk about himself for a while, “It’s what the people wanted. It’s one the reasons I’m sitting here instead of someone else sitting here. I think it’s something I’m good at.”
Donald Trump also gave an example of what he wants to do to reduce red tape. He said, “When you want to expand your plant, or when Mark [Ford CEO] wants to come in and build a big massive plant, or when Dell wants to come in and do something monstrous and special – you’re going to have your approvals really fast.”
While Trump’s first hand policy might sound appealing, it doesn’t if you get a bit deeper: how is he fill the gap between the tax revenue and fiscal budget? Well, that’s what Trump hasn’t been able to answer yet. Otherwise, his policies are obviously appealing to the businesses.
Andrew Liveris, CEO of Dow Chemical, said, “Look: I would take the president at his word here. He’s not going to do anything to harm competitiveness. He’s going to actually make us all more competitive.”