If Trump Wins, Stocks will Drop 50%

Trump supporters need to seriously examine what a Trump Presidency might look like in terms of our financial status.

In making his bold call, Ian Winer first looks at Trump's proposal to cut taxes on the highest-earnings Americans and on corporations, which according to different sources, would reduce government revenue by something in the neighborhood of $10 trillion over the next decade.

On the spending side, Trump has promised to bulk up the military and bolster the country's infrastructure, which could lead to increased rather than reduced expenditures.

Concerning massive deportation and it's effect on the economy:

The second policy plan Winer analyzes is one of Trump's best known — his promised mass deportation of undocumented immigrants. Not only will this cost a great deal of money to carry out, but it would massively deplete America's labor supply, Winer said.

"If you assume that every one of the 11 million people leave, and for every one of those jobs an American takes it — which probably is not likely, but let's just say they do — they're going to be higher-wage jobs," Winer said. That would "cut into corporate margins, and at the end of the day, it's just going to result in higher prices for consumers when they go to Wal-Mart and when the go to buy things."

About his high tariff's on Imports:

Finally, Winer takes a look at the tariffs proposed by Trump on imports from China, Mexico and elsewhere.

"All this would do would be to raise prices on the poor," as it would directly increase the prices of goods, Winer wrote. "All it really does is impose a tax on U.S. consumers."

Some experts are even saying his proposed policies could cause a global recession.

Source: www.cnbc.com...

Some of his proposals sound pretty good until you begin to examine what they actually mean.

He is going to balance the budget and reduce the deficit.

Be patient. He has a plan.

originally posted by: BlueAjah
He is going to balance the budget and reduce the deficit.

Be patient. He has a plan.

Pray tell what his 'plan' is, other than what is stated above.

If somebody as respected as Ian Winer said it, it's gotta be true. I guess I'll vote Clinton now

a reply to: ladyinwaiting are you saying? trumps proposals won't actually make America great again?

Make America Broke As F#...


Get on board.

An orangutan in office with his hand hovering over that big red button for four years... what could possibly go wrong?

a reply to: ladyinwaiting

I'm not pro-Trump, but...what a bunch of ludicrosity™. Of course prices will go up if the people picking grapes are making $12/hr instead of $2/hr. When people have signficantly more money due to rising wages, they can afford the increased costs involved because of the added labor expenses. ALL pay would increase.

This is all, assuming, such a thing were to ever happen. I'm just saying the analysis is terribly flawed. Essentially, it would be pulling money out from the top and into the hands of the working class, as corporations would still have to compete - it would just force more of the payroll expense into the labor pool, rather than adding extra millions on top of the millions already paid to top executives. Paying lower wages thanks to cheap labor / exporting jobs / illegal immigrant labor, etc., doesn't do much to lower prices, it only enriches the corporations who take advantage of it. Just as a corporate tax rate cut simply increases the incentive to export jobs (a higher percentage of the savings is retained, instead of being paid in taxes.)

How can trump cut taxes on corporations when democrats say they are not paying taxes now?

originally posted by: Hazardous1408
Make America Broke As F#...


Get on board.

Easy Bernie.

a reply to: dogstar23

So let me get this straight. Corporations paying less than they already do, and small businesses having to pay out more to employees they can no longer afford, is somehow offset by minimum wage jobs for the lowest skilled legal employees?

That does not add up at all.

originally posted by: ladyinwaiting
Trump supporters need to seriously examine what a Trump Presidency might look like in terms of our financial status.

In making his bold call, Ian Winer first looks at Trump's proposal to cut taxes on the highest-earnings Americans and on corporations, which according to different sources, would reduce government revenue by something in the neighborhood of $10 trillion over the next decade.

On the spending side, Trump has promised to bulk up the military and bolster the country's infrastructure, which could lead to increased rather than reduced expenditures.

Concerning massive deportation and it's effect on the economy:

The second policy plan Winer analyzes is one of Trump's best known — his promised mass deportation of undocumented immigrants. Not only will this cost a great deal of money to carry out, but it would massively deplete America's labor supply, Winer said.

"If you assume that every one of the 11 million people leave, and for every one of those jobs an American takes it — which probably is not likely, but let's just say they do — they're going to be higher-wage jobs," Winer said. That would "cut into corporate margins, and at the end of the day, it's just going to result in higher prices for consumers when they go to Wal-Mart and when the go to buy things."

About his high tariff's on Imports:

Finally, Winer takes a look at the tariffs proposed by Trump on imports from China, Mexico and elsewhere.

"All this would do would be to raise prices on the poor," as it would directly increase the prices of goods, Winer wrote. "All it really does is impose a tax on U.S. consumers."

Some experts are even saying his proposed policies could cause a global recession.

Source: www.cnbc.com...

Some of his proposals sound pretty good until you begin to examine what they actually mean.

If you understood finance or business and there was a 50% all of value because someone walks into the door. That means you can expect another 25% loss due to the article, in this case the stock market, being falsely held up. This is most likely where Obama robbed us the worst. The devaluing of stocks through his policies have been suspect for 7 years now. If the roof caves in it wouldn't shock me the least. However, I love to see wimpy millennials try and threaten real men. Guess what, your safe place is not going to be their for long.

Actually, the article linked to in the OP has little substance, is opinion, and seems to be mostly fear mongering.

Don't forget CNBC is Left Wing Fabian Socialist.

Most stories coming from them are extremely biased.



Analysis on the blind side is necessary to understand the hidden agenda.

a reply to: ladyinwaiting

The problem I have is that your title suggests that stocks are a direct result of taxation. High taxes = high stock values.

Stocks, in my humble opinion, are inflated based on the Quantitative Easement in place.

The clock has been ticking and the dice have been rolling on a stock market crash since Janet Yellen ended QE (aka free money to do things like pump up stock prices) back in December. It may or may not happen all at once. It might not even happen at all, but then again, doesn't that sound like a "it's different this time" sort of argument?

Blaming Trump for it is sheer nonsense and I guarantee that Ian Winter knows it. He must be just another establishment hack trying to scare people away from Trump. It was predictable that once they started getting QE, aka free money for rich people, they would demand that they always got free money to pump up stock prices. Trump has nothing to do with that. This is just another threat to crash the market unless they get more QE.

Trump actually had to build things and run successful businesses that made profits in order to make money. The jerks who just sit back and skim the profits of successful businesses are the ones screaming bloody murder about Trump. They hate Trump because they know he SHOULD hate them.

They are like spoiled children. They obviously need successful businesses to skim profits from so it's time for a president who will be good for businesses that actually make things, build things, and do things in the US, or there won't be anything left for these spoiled Wall Street brats to skim in the first place.

originally posted by: BlueAjah
Actually, the article linked to in the OP has little substance, is opinion, and seems to be mostly fear mongering.

I happen to agree. It's opinion and has about as much substance as this comment made earlier:

He is going to balance the budget and reduce the deficit.

Be patient. He has a plan.

Same mindset that got Obama elected.

Trump 2016: Hope and Change 2.0

The thing is they said the same thing before about cutting taxes bringing in less money. However, what happened was the revenue actually increased for the government. The reason is more paid their taxes and business was more likely to invest and expand while paying less taxes. There is always the same scare tactics used by the left or right. It is predictable to a degree what they are going to say.

I will say this, My feeling is Trump is much more likely to start a program of cutting out waste than the left. I have seen reports on how up to 10 agencies may be doing repetitive work that is just waste. You have employees that go to work and play on the computer all day because they have nothing to do. If this waste was cut out it would help pay for strengthening the military.

How Trump plans to have medical care for all is one thing I am concerned about. We already see the disaster Obamacare has wrought upon the people. How you can pay to cover everyone and bring any fiscal discipline to the bloated government is something I want to hear more about.

Right. If Trump places high taxes on Imports from China, Mexico, Japan, et.al, the manufactures are going to respond by shaking in their shoes, and begin making arrangements to move their companies back to the U.S.

Because Trump said so.

Surely they won't laugh about it, and charge $100. for a toaster that previously cost $45.00.
Nah, that's not going to happen. And it won't effect the stock market.

Wake up and smell the coffee folks.

originally posted by: BlueAjah
He is going to balance the budget and reduce the deficit.

Be patient. He has a plan.

The vast majority of tax money collected by the U.S. government comes from the highest earners and corporations. And a very large portion of that money is spent on defense, since the U.S. already spends more on defense than the next several biggest spenders combined. It seems to me more like his plan is specifically designed to increase the deficit as much as possible.