Vanished

Remember how Donald Trump's tax cuts, which went primarily to the very wealthy, were supposed to stimulate the economy permanently? Well that turned out to be another lie.

Yesterday, the Tax Policy Center released a report (link here) that showed the cuts only boosted the economy for about a half a year before they started running out of steam in the middle of last year. Economic growth then fell to normal levels in the middle of last year.

In the most recent three month period, economic growth was actually below the ten year average, further proof that any benefits from the tax giveaway to the rich have vanished. Indeed, the Federal Reserve cut interest rates this week out of fears the economy was now stalling.

The downside to all this is that the pain hasn't set in yet -- those tax cuts will have to be paid for, because the economy didn't grow as promised and tax revenues are down. The result is that both the deficit and national debt are increasing.

The bottom line is that the six-month short-lived benefit from the tax cut will have to be paid for by future generations over many decades. And when the economy does run into trouble again, as it always does, the country's borrowing power will already be severely impaired, thanks to Trump's needless and expensive cuts that only truly benefited the very wealthy.