Kamala Harris’s decisive victory in the election would be the best possible outcome for the US economy: Goldman Sachs
US elections : According to financial institution Goldman Sachs, the greatest conceivable result for the US economy would be Vice President Kamala Harris‘s resounding win in the 2024 election.
The financial institution predicts lower economic growth in 2019 as a consequence of former President Donald Trump’s election and a Republican sweep of Congress. This is because Trump has promised to impose higher taxes on imports from nations like China and take a stricter stance on immigration.
According to Goldman Sachs, “the hit to growth from tariffs and tighter immigration policy would outweigh the positive fiscal impulse if Trump wins in a sweep or with divided government.”
In addition, they said that “a slight boost to [gross domestic product] growth would result from new spending and expanded middle-income tax credits, if Democrats sweep.” This was in addition to noting that “high corporate tax rates would slightly more than offset lower investment.”
Harris presidency, according to Goldman Sachs, will result in 10,000 more employment per month.
With measures like the reinstatement of the higher Child Tax Credit and the introduction of a new $6,000 tax credit for low- to middle-class families with newborn children, Harris’s economic plan seeks to assist working families. She has also promised to fight Wall Street’s increasing influence in the housing market and lower the cost of food and prescription medications.
Additionally, Goldman projects that employment growth under a Harris president would be 30,000 jobs greater than under a full Republican control and 10,000 jobs higher each month than under a Trump presidency with split government. Under Harris’s leadership, immigration would increase the labor force more dramatically since her government would limit immigration, although much more slowly than Trump’s proposed measures.
Trump claims that a 10% tariff on all imports will preserve American jobs and provide enough money to sustain his tax cuts from 2017. This proposal is part of his economic program.
Many experts predict that Trump will soon reinstate tariffs on Chinese imports as well as car tariffs, with 100% higher duties on Chinese electric vehicles as a result of President Joe Biden’s decision extending Trump’s tariff plans. He has advocated for tariffs on Chinese goods to be increased even further—some have even argued that they should reach 50% or more.
According to estimates from the University of Pennsylvania’s Penn Wharton Budget Model, Trump’s planned economic policies are predicted to raise the government debt by $5.8 trillion over the next ten years—nearly five times more than Harris’s measures, which would add $1.2 trillion.
