Tax Facts Tuesday: The Real Progress Report on the Economy
The News: Democrats recently released a “progress report” on the Tax Cuts and Jobs Act. As expected, it is out of touch with reality.
The Rhetoric: In their report, Democrats forgot to mention one thing: robust economic growth. They ignored the good economic news that keeps coming—and the huge role tax reform has played in delivering it.
The Reality: Here is the real progress report on the U.S. economy from the last few weeks alone:
Reuters: U.S. Companies Seen Investing More in Business This Year After Tax Cuts
“U.S. companies could plow more of the money saved from sweeping tax cuts into business investment later this year, perhaps even surpassing a jump in first-quarter capital expenditure that was the highest in almost seven years.”
Wall Street Journal: U.S. Industrial Production Rose 0.7% in April
“U.S. industries pumped out more goods in April to meet growing demand from consumers and businesses, another sign the economy is gaining momentum.”
Gallup: Optimism About Availability of Good Jobs Hits New Heights
“Americans of all age, income and education groups are decidedly more positive about the job market now than before Trump’s election, and as that has happened, the previous major differences by age and education have shrunk or disappeared.”
Washington Examiner: Jobless Claims are Running at the Lowest Level in Nearly a Half Century
“…average weekly claims for the past month are the lowest in over 48 years. Low claims are a good sign for the economy. They suggest layoffs are rare.”
Associated Press: U.S. Retail Sales Continue Rebound With Solid April Showing
“A strong job market, which is showing early signs of lifting Americans’ incomes, could help drive spending gains in the months ahead. Tax cuts have also left most U.S. households with more money to spend…”
Wall Street Journal: Capital Investment Soars at Firms
“U.S. companies are ramping up spending on their businesses at the fastest pace in years, a long-awaited development after years of tepid growth. … It is on track for the fastest pickup since 2011 and a record for the first quarter of a year. The jump has been aided by the U.S. tax-code overhaul, which is putting more cash in companies’ coffers.”
ABC: REPORT: Tax Cuts Will Inject Billions into the Housing Market
“…Zillow estimates almost $40 billion could be injected into the American housing market as a result of tax cuts to Americans in 2018.”
USA Today: Salaries for Graduates Seeking First Jobs Rose 5.2% From Last Year
“Average pay for new entrants age 24 and under rose 5.2% in March compared with their predecessors a year earlier.”
FOX Business: Small Business Optimism Surges as Profits Hit Record High
“The small business optimism index remained at record-high levels thanks in part to President Donald Trump’s tax cuts.”
The Bottom Line: Despite all of this great economic news, Democrats still choose to ignore all the benefits our workers are experiencing due to tax reform. The Tax Cuts and Jobs Act is accelerating our economy—and this is only the beginning of even more good things to come.