Thursday, May 5, 2016

Will Donald Trump Really Build a Wall if He is Elected President?

Jeff Gundlach , CEO of DoubleLine, which manages $84 billion for clients, told CNBC "Donald will have to at least try to build a wall, at least try to do something with jobs, try to help the median America. How far he'll go, I don't know, He can't say 'I was just kidding.'"

He also thinks the budget deficit will explode under Trump and that he will be a phony deficit cutter, just like Ronald Reagan:
He's very comfortable with debt. We know that about Donald Trump. Reagan was a debt-based economic guy and I think Trump will be, It will probably look like it's working at first. The question is, will the boost to the economy from infrastructure projects and the like off-set the potential drag from shrinking global trade.

The deficit ratios Reagan vs, Bill Clinton:

Ronald Reagan

1981-88 4.2 %

1982-89 4.2

Average 4.2


Bill Clinton

1993-2000 0.8

1994-2001 0.1

Average 0.5

Reagan was also worse than both George W. Bush:

George W. Bush

2001-08 2.0

2002-09 3.4

Average 2.7


1 comment:

  1. He can't say 'I was just kidding.'" Maybe not in those words but previous presidents routinely renege on their promises and live to tell about it. Obama on Guantanamo and "you can keep your insurance", W. Bush regarding no nation-building foreign policy, Bush "no new taxes", etc. Trump has certainly reneged on RE deals in his private life and apparently views it as a part of negotiations.