Here's How Trump Muslim Ban Will Slam U.S. EconomyBefore you panic, I suggest you read an earlier story.
From Forbes on November 7:
How A Trump Win Could Crater Your 401(k)
As a rule, presidents generally can’t significantly move huge economies like the U.S. While politics are always a consideration, the Federal Reserve and Congress, which controls spending, generally work independently of who’s in the White House.
It’s a different story when it comes to Donald Trump. Economic Conservatives and Liberals alike say his election could trigger a recession, tank stocks and hurt your retirement savings.I just looked at my 401(k), which is 100% invested in John Bogle's S&P 500 stock index fund. We shall see how this works out in the long run, but so far, so good.
(Yes, they say in retirement I should go from stocks to more bonds, but I say dance with the one that brung you.)
That November 7 story -- the day before the election -- ended:
Although I can’t make a strong argument that Clinton’s policies would promote economic growth — which general follows non-political cycles — her policies would be nominally friendlier than Trump’s to budget concerns, foreign trade, job creation and reducing economic inequality.
And for that reason — and many others — I think your retirement kitty is in much safer hands if Clinton is elected. To think that radical, xenophobic-oriented, tax-regressive change would promote economic progress is the ultimate bamboozlement.Thank you for that advice, Forbes.
But now that reaction this week to that phantom "Muslim ban."
The travel curbs on people coming in from selected Muslim countries is going to hurt the U.S. economy. President Trump and his advisers are bamboozling Americans into thinking that it’s all about national security.
The ill-conceived, cruel restriction of just a handful of Muslim-dominated countries is a sideshow to some harmful moves that Trump has promised. A potential trade war will cripple the U.S. economy in a number of ways. It starts with restricting people from emigrating to the U.S.
Financial markets on Monday initially reacted negatively to the Trump ban. The value of the dollar relative to other world currencies also declined.The piece ends:
As Trump follows through on campaign promises to scrap major trade deals such as the Trans-Pacific Partnership, which could’ve secured a competitive advantage for U.S. companies against China, it’s not clear what will actually stay in place. The Administration has already walked back parts of its Muslim-country ban and is being sued in several federal courts.
In any case, watch for the market’s reaction to ongoing changes in trade policy. While corporations and wealthy investors are relishing the idea of lower tax rates — part of Trump’s platform — if they are accompanied by trade and talent roadblocks, that optimism could evaporate quickly.Now this is an opinion piece by a third-party, not necessarily the views of the magazine's founder, Steve Forbes.
But the magazine does have the responsibility to offer views that have some basis in fact.
Both columns are by John Wasik. We shall see if how his predictions turn out. So far, he is in Nate Silver territory.
"Trump the Establishment" is an account on how the Establishment used the media to stop the Trump Train in the general election by constantly badgering him on personal issues, often petty. But Trump prevailed based on his abilities as a CEO, and his stances on the real issues of the economy and national security, which I also delve into.
The book is available in paperback at Create Space, or if you prefer, Amazon.
Kindle will be available March 1.
This is the sequel to "Trump the Press," which covered the nomination. It is available on Kindle, or in paperback on Create Space or Amazon.
Autographed copies are available by writing me at DonSurber@GMail.com