Like in the Biblical story about promises of a better life given by the fallen creature, the results of the Democratic plan will be the opposite of expectations.
Analysts of Goldman Sachs warned that Joe Biden would cost the economy. A ‘blue wave’ U.S. election could return the trade-weighted dollar and DXY index to their 2018 lows, the bank strategists suggested. The dramatic appreciation of the dollar and fall of market indexes are only a start of troubles forecasted by Goldman, UBS Asset Management, and Invesco Ltd.
Few investors received information about warnings. The majority of voters, if the polls are correct, are choosing free stuff and “jobs” from the Biden basket. In that basket, like in a weekly supermarket catalog, colourful goods are meant to generate big appetites. Medical care, college tuition, the forgiveness of student debt, child care, and universal guaranteed income are only a few items on the pages cynically offered by Kamala Harris and Joe Biden.
If reports are true, American Millennials and “the people of color” crowd that communicates in 40 familiar words language and informs themselves with three-line news in the dumbing down social media, respond with enthusiasm. Understandably, Democrats do not dare to wake them up from the state of deep enamour.
But the economists could not wait quietly until this tragedy ends.
It is a tragedy, indeed. Had not the epidemic of the Wuhan virus caused by Communist China, America would be on the path to solid economic growth. Its booming gas and oil industry providing cheap energy prices, the relocation of offshore capital, and repatriation of the manufacturing from China, for the first time since World War II could reduce the unemployment nearly to zero. (As the first US President, Mr. Trump, with its economic policies, reduced black unemployment to a record low, 5.9 percent, Latino to 4.4 per cent, and Asian to 2.2 per cent in May 2019.) The bounce-back requires a favourable climate for investors and re-opening of the economy, which could occur in five to ten weeks. Only a few steps divide Americans from the return on this path.
But those who never were able to achieve even half of what Mr. Trump did for business are painting a vision of a better life.
The cynical campaign is, in a way, a deja vu of the encounter of Adam and Eve had with the fallen one in Paradise. There also, when the first people enjoyed a life un-ended happiness, the fallen one turned on Eve’s imagination on the full gear of envisaging an even better life. The dreams of better paradise were utopia that led to the weeping and gnashing of teeth.
As in the story from Genesis, the Democratic world that is waiting is the opposite of prosperity and happiness.
Under the banner of the fair share, new taxes, regulations, and limitations will be imposed, strangling economic growth.
Mr. Biden is not hiding that he will abolish Trump's tax cuts, effectively raising them not only for the wealthy. A single mother with three jobs will also have to pay more. There is no tax revenue to collect by only trying to tax people on incomes of over $400,000 — because they are the people who know how to avoid tax increases — legally or illegally. The rich supporters will be hit with corporate tax, which will slow growth, reduce profits, and lower the price of the stock.
There will be a green tax aimed to subsidise the creation of “the free from fossil fuels” energy. There will be costly fines and even jail for investors. The program is not only economically destructive, but racist introducing new segregation with the top class of “Blacks” and a lower class of “Whites” which includes Asians (who are the most entrepreneurial and cultured group in America).
This radical economic strategy, or rather a welfare offensive, is described in the official document titled Working Families Party’s People Charter buried on the website of the Biden-Harris campaign.
Mr. Biden and Ms. Harris, billionaire, and millionaire respectively, have few reasons to be concerned as well as their co-billionaires and millionaires friends in US Congress, Party, and on retirement, The Obamas included. But America will be on the path to the stagflation when a sudden hike in prices and high unemployment rate hits the economy spreading poverty instead of the wealth around and far beyond the borders of the United States.