US Economy: White House mulling tax cut to avoid recession

US Economy: White House mulling tax cut to avoid recession

US Economy: White House mulling tax cut to avoid recession

President Barack Obama temporarily cut payroll taxes to act as a counterweight to the 2009 recession.

The survey also asked about fiscal policy, and a majority of economists said Mr Trump's tax cuts "had an overall negative impact on housing activity over the past 18 months", due to changes in deductions allowed for mortgage interest. Employees pay the tax on income up to $132,900. "I gave a tremendous tax cut and they're loaded up with money".

"He's looking at tax cuts again", Gidley said.

The Post did not say how large a tax cut officials were discussing.

The plans reveal the administration's top economic aides' growing concerns about a possible slowdown as the 2020 election nears - despite the President Trump's glowing reviews of the U.S. economy, The Washington Post reported.

Thirty-four percent of economists surveyed by the National Association for Business Economics, in a report being released Monday, said they believe a slowing economy will tip into recession in 2021. So far, consumer spending has remained one of the US economy's bright spots, and White House officials are aware that Trump's reelection chances could hinge on the economy staying strong into next year. "Consumers are working, at higher wages. They're actually saving also while they're spending - that's an ideal situation". "But the Fed doesn't like helping me too much".

White House officials have shifted wildly in recent days with varying assessments about the economy.

German theme park forced to close ride in shape of giant swastikas
Video of the ride, called "Adlerflug" (Eagle's Flight), had been circulating on the online platform Reddit and drawing criticism. The public display of swastikas and other Nazi imagery is illegal in Germany and punishable by up to three years in prison.

White House trade adviser Peter Navarro on Sunday dismissed the idea that last week's market volatility was a warning sign, saying "good" economic dynamics were encouraging investors to move money to the United States.

Economists and investors will be closely watching a speech Powell will give Friday at the Fed's annual conference in Jackson Hole, Wyo., for signals of whether the central bank is prepared to embark on a series of rate cuts to energize the USA economy. Trump has frequently lashed out at Powell but had never used the phrase "basis points" in a tweet or made such a specific demand.

President Donald Trump accused Democrats Tuesday of running a strategy to drive the nation into recession, as he amplified claims from his allies that the economy is stronger under his leadership. Very Selfish! Our dollar is so strong that it is sadly hurting other parts of the world, ' he tweeted.

Still, the Republican president took to Twitter on Monday to urge the Federal Reserve to stimulate the economy by cutting interest rates and returning to "quantitative easing" of its monetary policy, an indication of deep anxiety beneath his administration's bravado.

Markets are not concrete at predicting a recession, however, they dropped before the 2001 recession and at the beginning of the 2008 recession.

Another Trump target is the news media. Concern over the outlook has roiled financial markets and sent Treasury yields toward records lows, flashing recession-risk warnings as investors increase bets that the USA central bank will ease rates again. They are spending at a rapid pace.

"I don't think we're having a recession", the president told reporters. He added: "I don't see a recession".

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