This blog is a adjusted transcript from our podcast, The Economic Impacts of the Next Presidency – http://thewealthstandard.com/the-economic-impacts-of-the-next-presidency-episode-142/
The Huge Economic Implications of the Presidential Race – The National Debt
When we were on the Real Estate Guys Investor Summit cruise a few weeks ago, Robert Kiyosaki was there for almost the entire time, and it was fascinating being around him and hearing him talk. It was great, great content. One of the more interesting topics he talked a lot about was Donald Trump, because he has a great relationship with Donald. They’ve written a book together; they always quote each other in other books that they’ve written independently, so he knows him pretty well. And even Kiyosaki’s like, “I don’t know what he’s thinking.”
Right? Because, running for president, it’s kinda like the Titanic is heading for the iceberg. And it’s like, you see it’s there! The guy’s going to ring the bell and there it is. And, yeah, they’re going to try and take as much corrective action as they can, but it’s going to hit the iceberg.
Well, one of the biggest icebergs is the national debt. Because of this, there are huge economic implications of the Presidential race.
Looking at where we’re at right now and how big the economies have come, I do agree, looking at industry, looking at commerce, looking at the international side of things when it comes to the world, where did all this growth come from? People do yield to invest in the markets, but really, where has this expansion come from?
Well, a lot of it is debt driven. So if you look at the deficit that we’re in and, if Donald Trump becomes president, he’ll inherit almost a twenty-trillion dollar deficit. And that’s just the principle! How can you pay that thing off where tax revenue is three trillion? And the tax revenue is corporate taxes, it’s income personal taxes; it’s FICA. (FICA shouldn’t even be on that, as far as income is concerned.) What is FICA supposed to pay for? FICA’s supposed to pay for Social Security, but yet, they count it as part of their revenue! But they can hardly afford the interest on the debt, let alone pay anything on the principle.
Then, you have unemployment which is bad enough. The official numbers are around five percent. But the unofficial is that people have stopped looking and there are people that are just working part time, but they’re being counted as full time. So, there’re some skewed numbers there. So Kiyosaki was saying Trump is inheriting the Titanic after the iceberg’s been spotted.It’s kinda like the captain on the bridge and he sees the iceberg and people are freaking out and he’s like, “Okay, I’m not freakin’ out. You should be captain because you’re gonna help us more than me.” The other captain would be like–“Uh, no. You have to be the captain and stay on the ship and sink with it. I’m gettin’ on the frickin’ lifeboat!”
This is a key component economically of this year’s Presidential race. The tax policies presented by the different candidates can have a lasting and enormous impact on every American citizen.
In this podcast, Patrick and Will discuss both tax policies of both Donald Trump and Hilary Clinton, and how they stack up against one another.
Click here to read the discussion about Donald Trump’s tax code.
Click here to read the discussion about Hilary Clinton’s tax code.