September 5, 2024 | Goldman Sachs Predicts Stronger Economy Under Harris

Goldman Sachs, or Government Sachs as they are known in the industry, has bet on the establishment candidate. The person who has already spent four years in the White House will somehow repair the damage they caused to the US economy, according to Goldman Sachs, who strongly believes America should stay on the same losing trajectory.

“We estimate that if Trump wins in a sweep or with divided government, the hit to growth from tariffs and tighter immigration policy would outweigh the positive fiscal impulse” from maintaining most tax cuts, Goldman economists stated. Remember that Goldman Sachs places their employees within the US government as there is an ongoing revolving door. “We estimate that the contribution from immigration to labor force growth if Harris wins would be 10,000 per month higher than if Trump wins with divided government,” and 30,000 a month higher than if Trump secures the vote.

America has spent billions on the migrant crisis which has toppled state and city budgets. We have over 8 million newcomers now living solely off government assistance. Goldman is preaching the same propaganda that these migrants are needed for America’s workforce, despite recent data showing a major slow in hiring in addition to numerous adjusted jobs reports that show NO new jobs have been created outside the public sector under Biden-Harris. They believe GDP would peak by 0.5 percentage points in Q2 of 2025 under a Trump victory.

A Harris victory would lead to a “very slight” boost in GDP compared to Trump, as “new spending and expanded middle-income tax credits would slightly more than offset lower investment due to higher corporate tax rates.” The “experts” believe that “the effects of policy changes would be small and neutral on net,” but the truth of the matter is that a Harris victory would guarantee a major economic downturn. It is astonishing that they expect the public to believe that the middle class will increase their spending through tax credits. They simply do not understand that a lack of confidence is the reason that people hoard, and under this economy, the middle class does not have any disposable income to spend.

Then they state that Trump’s tariffs on China, Mexico, and EU would cause inflation to rise by 30 to 40 bps. I do not support tariffs but we are seeing the Biden Administration slam China with new tariffs and one could reasonably believe Kamala would do the same. Do they understand Kamala’s corporate tax hike proposition and how that would decimate America’s ability to compete?

Harris is proposing taxing capital gains including UNREALIZED gains. The American public has nothing left to offer Uncle Sam and rest assured Harris will raise taxes as her countless spending packages come at a price. Goldman Sachs completely failed to consider the impact government spending has had on the overall economy.

Most importantly, Government Sachs did not factor in the strongest driver of inflation – WAR. War produces nothing and will not lead to an economic increase. Kamala Harris along with Joe Biden helped America become completely embedded in Ukraine and now Israel. Trump is the only candidate who wants to stop sending endless checks to Ukraine and end the war.

These reports are meant to mislead the public and are nothing more than establishment propaganda.

Martin Armstrong September 5th, 2024

Posted In: Armstrong Economics

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