The U.S. debt clock has begun spinning backward since President Trump took office. When President Trump took office on Jan. 20, the total national debt was $19,947,304,555,212, or nearly $20 trillion. While there are fluctuating cycles of increase and decrease, the debt reached a high of $19,959,593,604,841 on Feb. 28, 2017, stalled, and since March 14, 2017, has continually dropped:
In the same period after Barack Obama’s inauguration in 2009, the debt rose $320 billion, an increase of 3.1 percent. During Obama’s eight years, the national debt nearly doubled, giving Trump’s predecessor the distinction of having increased it more than any other administration in history.
Total U.S. National Debt has now decreased by more than $100 billion.
This decrease represents a long-term reversal. During same six months in 2016, the U.S. National Debt grew by $450 billion (from $18,941,406,899,252.15 to $19,391,704,027,667.12) (DATA HERE). Not associated with a temporary lowering of debt during tax collection season, what’s known as the “Trump trend” is the reason that the federal debt clock is now turning backward.
However, that is not the only positive economic news coming out of Trump’s administration.
Unemployment is near a 16-year low and U.S. stocks are reaching record highs.
The U.S. economy added 222,000 jobs in June, much more than economists were expecting, the Labor Department said Friday.
The unemployment rate rose slightly to 4.4%, which is just above its lowest level since 2001. Shortly after the Great Recession ended in 2009, unemployment peaked at 10%.
Trump released a video praising Exxon Mobil Corp. for announcing a $20 billion building spree that would create 45,000 jobs along the Gulf Coast. The announcement dates to plans the company was making as early as 2013, but Trump noted that the increased jobs are a sign that his policies are working.
“I said we’re bringing back jobs,” Trump said. “This is one big example of it.”
During the last year of Obama’s presidency, job gains averaged 187,000 per month.
Trump’s strategy is to shift from focusing on Wall Street to applying common sense, “Main Street” economic policies which are pro-business, pro-investment, pro-manufacturing, and focused on job growth, lowered regulation, enhanced energy development, enlarged exports and reductions in actual federal spending.
Growing the economy and creating jobs means more workers, which translates to more taxpayers who are paying into the system. And more people working means fewer people in need of government subsidies. So, not only do you gain a dollar; you now have no need to spend that dollar, which results in a doubly-higher federal balance sheet.
And then there’s the GDP, which doubled its rate of growth in the second quarter, rising from 1.2% to 2.6%. Trump’s goal was 3% for 2017, and on Monday, during a cabinet meeting, he swore he would get there soon. He also recalled how no one believed that he would get there.
According to the president during the meeting, “2.6 is a number that nobody thought they’d see for a long period of time. Remember, I was saying we will hit three at some point in the not-too-distant future, and everybody smiled and they laughed and they thought we’d be at one [percent]. And 2.6 is an unbelievable number, announced on Friday.”
Don’t forget, President Trump is achieving these objectives regardless of the fact that he’s leading a dysfunctional Congress which is not entirely supportive of his pro-growth economic agenda.
If only the president could obtain help from Congress on repealing Obamacare, things would be even better.
Every economic pundit said Trump could never reach a 3% GDP growth. Now, if Washington would just support the Trump-Mnuchin-Ross-Mulvaney agenda, the economy might reach higher than 4 or 5 percent.