Loss of Jobs and Income. Increase in Energy Shortages
Four Stanford University economics professors associated with the Hoover Institute released a 52-page report on October 13 warning of likely consequences of Joe Biden’s economic plans. The authors were Kevin Hassett, Casey B. Mulligan, Timothy Fitzgerald, and Cody Kallen. Hassett is a former Trump economic advisor.
The report may actually be quite conservative because it does not include the far more devastating economic impact of the Biden-Harris-Democratic Party plans for massive amnesty, open borders, and free healthcare and other benefits and costs for millions of new unvetted immigrants pouring into the country. Nor does it include the considerable wage depression for American workers, which would occur with massive amnesty and open borders. It also assumes that a Biden or Harris Administration would not immediately reverse the recent individual tax cuts for Americans, which would immediately reduce American family incomes by $6,500 per year.
According to the Stanford-Hoover study, which assumes a more normalized post-Covid and pre-amnesty and pre-open borders economic environment, the consequences of Biden economics would nevertheless have its own devastating consequences for the vast majority of Americans. Relative to the current 2030 Congressional Budget Office (CBO) projections, the additional weight of the Biden economic plans would reduce the GDP by $2.6 Trillion, about 8 percent. This means no real economic growth over 10 years, and we would be 8 percent worse off at the end of 10 years. This would mean a net loss of 4.9 million jobs, and median household income would be another $6,500 lower at the end of ten years. Annual consumption would be $1.5 Trillion less, indicating a significant decline in average living standards for the American people. The study indicates a differential regional distribution of economic misery with Idaho, Montana, and Wyoming being the most severely devastated.
Biden’s energy proposals are intended to wean the United States off reliance off fossil fuels. This would result in shortages of electric power and limits set on use of passenger vehicles. It would also leave $5.0 Trillion of U.S. wealth in the ground while the rest of the world outpaces us in growth and prosperity. This would have the effect of reducing American mineral wealth by $6,000 per household. The New Green Deal would have an impoverishing effect on American families until green renewable energy theoretically catches up with our national energy need—which might be NEVER. Meanwhile, our national energy independence achieved by Trump will be cast away, leaving us vulnerable again to threats by foreign competition from those who do not wish us well. It would thus jeopardize our national security and increase the chances of war.
Biden is claiming he will only tax the rich, but this seems to be a misleading twist of his plans to get votes. The Biden plans are wide open to the possibilities of high taxation. Furthermore, high taxes on the rich and corporations have proven negative consequences for American workers. Biden has promised to raise the corporate tax rate to 28 percent. According to many studies by the Tax Foundation, raising taxes on business in reality passes the tax burden onto to consumers and workers. An average of approximately 70 percent of the burden of corporate tax is passed on to labor. Moreover, as a general economic rule (Ludwig Von Mises), progressive taxation of corporations or individuals reduces disposable income for investment. Investment is what drives the economic engines of free and successful nations, producing higher living standards for all.
To be frank, Biden’s economic policies seem designed for emotional appeal rather than economic reality. Furthermore, he adjusts them according to his audience, for example his statements on fracking as an energy resource. Eliminating fracking would have an especially devastating impact on Pennsylvania, Texas, Louisiana, and Oklahoma, and on U.S. energy independence.
Biden’s understanding of the Covid situation is also a serious economic threat. He not only denies and seriously misrepresents the considerable success of Trump’s Covid efforts, he accuses Trump of not having a plan, when Trump has actually executed a remarkable cooperation of government and business that has dramatically brought down the death rate and number of serious hospitalizations, and may lead to a vaccine in record time. It is actually Biden who does not have a real Covid plan. According to Biden’s “plan,” the first thing he would do after election would be to call Anthony Fauci, who was most recently leaning to a nationalization of the Covid effort and placing Covid elimination at a much higher priority than getting people back to work and kids back in school. Biden is using Covid as a campaign issue, and his priority is fear-mongering rather than “science.” Biden and Democrat governors have shown a strong preference for relying on shutdowns and government control. Another shutdown, especially a national shutdown, would be an economic disaster.
Most of the national news and social media are blacking out news unfavorable to Biden in order to help elect him and the Democrat Congressional candidates. The most egregious recent incident involves Biden family profiteering from influence pedaling schemes in Ukraine, Russia, Kazakhstan, and China. The Biden family, including son Hunter Biden and brother Jim Biden, under the overall direction of Joe Biden, “the big guy” profited at least $9.8 million, much of which may have been the source of funds for four extravagant Joe Biden houses. The Senate Homeland Security and Finance committees have issued an 83-page report on this. This report has been confirmed by Hunter Biden emails and emails from Hunter Biden partners Bevan Cooney and Tony Bobulinski. Bobulinski’s information confirming that Biden lied about his involvement with Hunter Biden’s business dealings is now in the hands of the FBI, Justice Department, and the Senate Homeland Security Committee. According to Bobulinski, the information is being used to investigate violations of money-laundering and other laws. The most likely compromise of U.S. interests and national security concern a partnership with a Chinese Communist Party dominated Chinese national energy company. The Director of U.S. National Intelligence has confirmed that these materials are NOT part of a Russian disinformation operation as is now being claimed by Joe Biden and his media and Democrat Party apologists.
If Joe Biden or Kamala Harris becomes President of the United States, and especially if the Democrats win a majority in the United States Senate, the investigation and possible charges against Joe Biden for compromising U.S economic interests and national security for personal gain will be covered up forever. Our First and Second Amendment freedoms will also be under grave. threat
Does anyone outside of a madhouse want to trust America’s future or their own to Joe Biden?