Oct 14, 2020 - Economy

Trump promises economic rejuvenation in speech with few policy details


Photo: Joe Raedle/Getty Images

President Trump promised on Wednesday to lift the economy "to unprecedented heights" and bring about a quick "return to full employment," but did not lay out specific economic plans for a potential second term.

Why it matters: Economists have largely abandoned expectations that the economy and labor market will spring right back to pre-pandemic levels. Instead, they are bracing for an uneven, sluggish road back.

What he's saying: President Trump told an event hosted by the Economic Club of New York on Wednesday that "we're going again for a big middle-income tax cut" — which he also promised ahead of the 2018 elections — but didn't provide specifics.

  • Trump also said he has an infrastructure plan now, "but we're gonna make it much bigger." He did not elaborate.
  • Trump positioned the election as "a choice between a socialist nightmare and the American Dream," and he claimed a Joe Biden victory would cause a "steep" economic depression.

The big picture: President Trump also said the White House was "trying to get some stimulus money" for industries battered by the pandemic, like the airlines and cruise lines.

  • He said he'd like to see the Democrats "loosen up a little bit" — a week after Trump called off negotiations and then demanded that Congress "go big or go home" on stimulus.
  • Negotiations remain at an impasse. Treasury Secretary Steven Mnuchin, who had a call with Speaker Nancy Pelosi on Wednesday, said that it's unlikely there will be a COVID relief deal before the election.

Go deeper: Where Trump stands on economic promises

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