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Our elections occur within a larger national context. Here is background information we found helpful when evaluating the candidates on key issues.

Click on the down arrow to read the details.

  • 40 years of trickle-down economic theory has worked for a few, but not many. Instead, Middle-Out Economics focuses on the middle class, using economic policies to grow the economy from the bottom up and the middle out. First introduced by The World Bank and International Monetary Fund, the term was popularized by President Obama in 2012.

  • What is Project 2025?

    Project 2025's full title is '2025: The Presidential Transition Project'. The plan is published by the conservative think-tank, The Heritage Foundation. Members Trump's former staff are authors of the plan, including Paul Dans, Chief of Staff at the Office of Personnel Management, and Russell Vought, Director of Management and Budget.

    The plan proposes that the entire federal system, including independent agencies such as the Department of Justice and The Federal Reserve, be placed under direct of control of the President. The plan also calls for eliminating thousands of government employees who would then be replaced by political appointees.

    The Heritage wrote a similar document when Trump won the presidency in 2016. A year into that term, Trump had adopted nearly two-thirds of its proposals. Source: BBC, Aug, 16, 2024 bit.ly/4gcOAnM

     

    'Project 2025: The Presidential Transition Project' proposes:

      • Abolishing the Department of Education

      • Abolishing the Federal Reserve Banking System

      • Using taxpayer dollars to fund private religious schools

      • Rounding up and mass deportation of illegal immigrants

      • Dismantling the Department of Homeland Security to create a new border policing operation

      • Ending abortion rights CNN Jul, 11, 2024  bit.ly/3XjMVEC

      • Increased Arctic drilling

      • "Stoping the war" on oil and natural gas and end federal funding to research renewable energy

      • Minimize corporate and income taxes and consider a return to gold-backed currency

      • The department of Health and Human Services would "maintain a biblically based definition of marriage and family"

    Read 'Project 2025 – The Presidential Transition Project' here.

  • The Federal Reserve controls monetary policy and therefore is responsible for managing inflation, not the President. The President can indirectly impact inflation but requires cooperation from Congress and the Federal Reserve.

    Trump has called for abolishing the Federal Reserve as an independent body and putting the President in charge of monetary policy. This change means the Federal Reserve's purpose would be divided between maintaining a healthy economy and serving the political agenda of the party in power.

    Here is what a President can do to indirectly impact inflation, though these measures have delayed effects:

    • Increase government spending or provide tax cuts to stimulate consumer spending

    • Call for trade agreements that lower the cost of imported goods, helping to lower prices

    • Introduce regulations that affect production costs. For example, regulating energy production can impact energy prices, a significant component of economic inflation.

    Maintaining a healthy economy is a delicate balancing act between inflation and deflation. Inflation, the gradual rise in prices, results in a decreased ability to buy things. However, most economists consider a small amount of inflation healthy because when prices are expected to rise, there is an incentive for consumers and businesses to buy now rather than later.

    Deflation, when prices are in a period of decline, might seem positive because the dollar has more value so consumers can buy more. However, economists warn that deflation can be dangerous because consumers and business delay purchases hoping prices declining even further. This delay in purchasing freezes economic growth and brings down, among other things, wages.

    How we know if we are in a period of inflation or deflation? There are three primary measures calculated on a monthly basis to monitor the health of the economy:

    • Consumer Price Index - tracks changes in the prices consumers pay for goods and services.

    • Personal Consumption Expenditures Price Index - tracks a broader range of consumer expenditures than the CPI, like healthcare spending.

    • Producer Price Index - tracks the changes in prices that companies receive for the goods and services they sell each month.

    Feb 13, 2024 Forbes https://www.forbes.com/advisor/investing/what-is-inflation/

  • While many are impressed with Harris' programs, undecides have concerns about the costs, and that they will pay higher taxes as a result.

    Harris plans to pay for her programs not through higher taxes on individuals but by raising tax rates on corporations:

    • Raise top corporate tax rate from 21% to 28%

    • Increase corporate alternative minimum tax (CAMT) from 15% to 21%

    • Increase tax on stock buybacks from 1% to 4%

  • MAGA stands for Make America Great Again and has been amplified to mean a movement of die-hard Trump supporters. MAGA has been criticized by several centrist and conservative news outlets for its divisive rhetoric, confrontational style, and most notably the January 6, 2021 Capitol riots.

    MAGA members are characterized by

    1. Conservatism: MAGA supporters generally align with conservative values, particularly on issues like gun rights, limited government, and strict immigration enforcement.

    2. Nationalism: Promoting a strong sense of American identity, focusing on "America First" policies in foreign relations, trade, and economic strategy.

    3. Criticism of Globalization: MAGA advocates often oppose international trade agreements and global alliances they view as unfavorable to American workers and industries.

    Washington Post, https://bit.ly/3Y5Bv8T