Stephen Moore criticized President Trump’s tariffs on Canada and Mexico as misguided, warning of a wobbly economy. He advocates for quick congressional action on tax cut extensions to stimulate economic growth instead. As market volatility rises, discussions about Trump’s economic strategies continue amidst concerns of a potential recession.
Former economic advisor to President Trump, Stephen Moore, has openly criticized the presidential tariffs imposed on Canada and Mexico, labeling them as “misguided”. He asserted that the economy requires a stimulus rather than further burdens such as tariffs. Moore urged Congress to expedite the extension of Trump’s tax cuts as a means to invigorate the ailing economy, which he described as “very wobbly” due to poor job reports and declining consumer confidence.
On March 4, President Trump imposed a 25% tariff on goods from Canada and Mexico, along with a 20% tariff on China, which led to volatility in the US stock market. Subsequently, exemptions were granted for automakers importing cars from these neighboring countries, further refining the tariffs’ scope under the USMCA agreement, which covers 38% of Canadian imports and 50% of Mexican imports.
The United States’ annual imports from Canada, Mexico, and China approximate $1.5 trillion. Moore emphasized that tariffs do not provide the necessary economic respite, proposing that the incoming tax cuts would instead support economic recovery, stressing the importance of Congressional approval before Memorial Day to ensure timely assistance.
Republican Congress members are reportedly drafting a package that includes an extension of the 2017 tax cuts, alongside measures for enhanced border security and increased energy production. Moore has previously supported Trump’s economic strategies through his publications and advisory roles, including his involvement in the 2017 Tax Cuts and Jobs Act.
As the market fluctuations continued, President Trump refrained from predicting a recession when questioned about economic stability, asserting that transitioning back to American wealth could take time but should ultimately benefit the economy. Simultaneously, Commerce Secretary Howard Lutnick dismissed recession concerns, maintaining confidence in Trump’s capacity to navigate these economic challenges effectively, claiming that those doubtful of Trump’s success are often mistaken.
Stephen Moore’s critique of tariffs reflects a broader concern regarding the economic strategies currently employed. He advocates for a boost through tax cuts rather than burdensome tariffs, emphasizing the urgent need for Congressional action. This scenario highlights the ongoing debate about balancing trade policies and economic growth in the United States under the current administration.
Original Source: nypost.com
