In construction and beyond, tax cuts are working
Think the U.S. economy is slowing down? Think again.
According to the International Monetary Fund, economic growth is expected to hover around three percent this year, and surpass 2.5 percent in 2019. America’s stock market, meanwhile, has outperformed the rest of the world. The S&P 500 is up eight percent year to date, while Europe and much of Asia are experiencing negative returns.
Moreover, economic optimism is being felt across industries. A recent Merrill Lynch survey of investors found that the overwhelming majority (69 percent) describe America’s economy as the one offering the best prospects for corporate profits.
In Federal Reserve Bank of Chicago President Charles Evans’ words: “The U.S. economy is firing on all cylinders, with strong growth, low unemployment, and inflation approaching our two percent symmetric target on a sustained basis. I expect this good performance to continue over the next few years.” Larry Kudlow, President Trump’s economic aide, echoed Evans’ sentiment: “The U.S. is the hottest economy in the world today. We’re crushing it. Capital is flowing here in huge quantities.”
If the construction industry — where my own experience lies — is any indication, we have only sunny skies ahead of us. Over the summer, jobless rates in our industry dropped below four percent — down from 4.9 percent last year. In fact, construction jobless rates are currently at an 18-year low.
Not since the turn of the century have we seen economic prosperity like ours today. And we have President Trump to thank for it.
Since the 2016 election, jobs in the mining and logging industry are up 13.5 percent. Employment in construction and extraction occupations, meanwhile, is expected to grow more than 10 percent over the next decade. As CNBC’s Thomas Franck puts it, “The construction industry is one of the hottest in the American economy in terms of employment and has been explicitly cited by the Bureau of Labor Statistics as an area of better-than-average growth.”
Why so much economic prosperity? There are many reasons, but President Trump’s staunch support for pro-business policies has a lot to do with it.
The Trump administration believes in tax relief as a way to create jobs, raise wages, and improve the financial situations of millions of working Americans nationwide. Similarly, the White House believes in a regulatory rollback to unburden employers, which have long devoted too much time and too much money to compliance, not business expansion and job creation.
President Trump’s belief is paying off. Because of federal tax cuts, well over 700 U.S. employers have taken advantage of a lower tax burden to grow their businesses, hire more job-seekers, and reward their current employees. Millions of working Americans — thousands in Pennsylvania alone — have received pay hikes, bonuses, and other employee benefits.
And that’s not all. The president has slashed hundreds of federal regulations since Inauguration Day, reducing the time and money that employers spend on compliance with red tape. Last year, the regulatory rollback saved job creators roughly $8 billion in regulatory costs. In 2018, that number will be closer to $10 billion. It goes without saying, but a healthier business climate bodes well for employees and job-seekers alike.
Remember: Our economic prosperity — in construction and beyond — is not a coincidence. Not with President Trump around.