July 17, 2019
New Op-ed: When it comes to the economy, Democrats live in an alternative reality
When it comes to the economy, Democrats live in an alternative reality
Vermont Sen. Bernie Sanders appeared on “Meet the Press” this weekend and railed against the U.S. economy, stating it “continues to favor the people who have the wealth and the power, while all over this country people are working two or three jobs.”
Mr. Sanders echoed what California Sen. Kamala Harris stated in the first Democratic presidential debate.
“Well, yeah, people in America are working. They’re working two and three jobs,” Ms. Harris said. “So when we talk about jobs, let’s be really clear. In our America, no one should have to work more than one job to have a roof over their head and food on the table.”
But that’s simply not true.
Fewer than one in 20 employed Americans holds a second job of any type, according to the Bureau of Labor Statistics, and there has been no spike in the number of people holding multiple jobs in recent years. Moreover, virtually no one works two full-time jobs as Ms. Harris suggested, according to BLS data, let alone do so to have a roof over their head and food on the table.
Democrats seem to be living in an alternative universe, a terrible place, where jobs are hard to find, wages are stagnant, manufacturing is moving abroad, the stock market is crashing, and tax cuts only benefit the rich.
None of their rhetoric actually matches what’s happening in reality.
Last month’s job report shattered expectations with the U.S. economy gaining 224,000 net jobs. Under President Trump’s tenure, 6 million new jobs have been added and the manufacturing sector has rebounded, with about a half-a-million new jobs created. The U.S. economy is in its longest-ever expansion, and for the first time ever there are more jobs than there are people to fill them. Wages continue to rise, especially for blue-collar workers, where wage growth is the strongest.
Yet these facts seem to elude the Democrats, who are constantly preaching Mr. Trump’s tax cuts and deregulation efforts have only benefited the top 1 percent.
“There’s a $2 trillion tax cut last year. Did you feel it? Did you get anything from it? Of course not. Of course not. All of it went to folks at the top and corporations,” Joe Biden said at a campaign rally in Pittsburgh.
According to the Treasury Department, 80 percent of Americans received a tax break under the president’s historic tax reform legislation. Those most unlikely to receive a tax refund, according to IRS data? Those “folks at the top,” as Mr. Biden would call them, making between $100,000 to $250,000 annually.
And in terms of corporations — those evil profiteering, innovative, companies that employ, pay, and provide health insurance and 401(k)s for millions of Americans — well, they must be admonished.
“So we’ve had an industrial policy in the United States for decades now, and it’s basically been let giant corporations do whatever they want to do,” Massachusetts Sen. Elizabeth Warren said in the first Democratic debate. “Giant corporations have exactly one loyalty, and that is to profits.”
Maybe so, but that end goal doesn’t necessarily mean the average American worker isn’t benefiting, after all a rising tide lifts all boats. An analysis by economist Stephen Moore concluded Americans are $10 trillion better off thanks to rising stock prices under the guidance of President Trump.
“The value of all-American stocks today is estimated at roughly $36 trillion, according to a report by Nasdaq. So, we have already seen a $10 trillion to $12 trillion wealth boost under this president,” Mr. Moore wrote. “That is more than the entire gross domestic product of most countries in the world. It is why everyone wants to invest in our country. It is also equivalent to roughly $10,000 for every American household.”
Not so bad for all those Americans who hold retirement funds or invest in the stock market.
The bottom line: Democratic presidential hopefuls are trying to convince you, you’re not better off than you were in the Obama years — when manufacturing jobs were shipped overseas, when the “new normal” was a 1.6 GDP growth, where wage growth was stagnant and unemployment surged, where you had to accept that “some jobs are just not coming back,” and only a “magic wand” could return our country to greatness.
Newsflash: The American economy is the greatest its ever been, and President Donald Trump is responsible for it. It’s a hard truth Democrats just can’t seem to face.
• Kelly Sadler is the communications director of America First, the official super PAC for President Donald J. Trump’s 2020 re-election bid.