(MENAFN- Khaama Press)
Fareed Zakaria, a well-known American journalist and analyst, wrote in The Washington Post that while Donald Trump portrays himself as a successful entrepreneur, his economic ideas threaten U.S. economic growth and would significantly increase inflation.
Zakaria argued that the damage Trump would inflict on the Economy is far worse than any liberal policies that he claims the Democrats would impose on the U.S. economy.
In his article, Zakaria noted that since Trump entered politics, many view him as skilled in fostering economic growth. As a wealthy businessman and TV personality, he has created the perception that he knows how to stimulate the U.S. economy. However, nearly everything Trump proposes has the opposite effect.
According to Zakaria, one of Trump's most repeated proposals is the imposition of broad tariffs on imported goods and the mass deportation of undocumented workers in the U.S. However, many economists believe these actions would harm economic growth and sharply increase inflation.
If the cost of goods rises due to added tariffs, and the number of workers decreases, fewer people will work, produce, and buy goods, resulting in an economic slowdown.
Zakaria cited findings from the Peterson Institute, which show that depending on the full implementation of Trump's policies, the U.S. economy could shrink by 2.8% to 9.7% by 2028, and inflation could increase by 4.1% to 7.4% by 2026.
Another institute estimated that the average American family would pay an additional $2,500 annually for goods and services due to tariffs, affecting both rich and poor equally.
Zakaria concluded that Trump's economic proposals would harm the U.S. economy far more than the so-called“anti-business” proposals from the Democrats, such as increasing corporate taxes. Many of Vice President Kamala Harris's proposals lean center-left and build on Biden's efforts to invest in the U.S. economy.
Zakaria pointed out that Biden's financial assistance programs have already reduced child poverty by 30% in a single year. These initiatives, along with investments in infrastructure, are essential and long overdue for the U.S. economy.
He emphasized that while both Trump and Harris have plans to address major economic issues like housing shortages, they must remember that market forces, not government intervention, ultimately drive sustainable growth and efficiency.
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