Joe Lavorgna: Pres. Trump has put in place policies that benefit middle- and lower-income workers

Economic Outlook - The economy is considered very healthy, with potential for a significant boom next year, contingent on lower interest rates to facilitate investment spending, particularly in infrastructure for factory construction [6][7] - Non-financial corporate productivity growth has risen by 35% in the last four quarters [6] - Tariffs have not had the anticipated negative effects, and lower rates are needed to strengthen interest-sensitive sectors, as inflation is a lagging indicator [7][8] - The market reflects confidence in current policies, indicated by tight credit spreads and strong performance in both bond and equity markets [17] Fiscal Policy & Investment - Full expensing for factories is permanent, which will spur a supply-side boom evident in GDP data, with further acceleration expected next year [5] - Capex grew nearly 15% in real terms in the first half of the year, the largest increase since 2011-2012, excluding the pandemic period, which typically precedes hiring cycles and manufacturing job growth [10] - The bill providing 100% expensing for factories, with a normal shelf life of nearly 40 years, allows full expensing in year one, effective until 2028 [11] Labor Market & Wages - Real wages fell, impacting consumer sentiment [13] - Blue-collar workers have seen a 16% annualized increase through November of this year, marking one of the largest increases in the last 60 years at the start of a new administration [15] - Rising participation in the job market and new highs in the stock market contradict claims of economic misery [18] Tax & Revenue - Revenue share of GDP is over 17%, with spending being the primary concern [20] - Maintaining low taxes on labor and capital is crucial for fostering growth, creating goods, services, industries, and jobs [24] - If the economy grows at 3%, approximately $4 trillion more in revenue could be generated compared to CBO predictions, benefiting the long-term budget outlook [24] Deficit & Debt - Deficit numbers have improved under the current administration [28] - The tax cuts and jobs act effectively paid for itself, considering CBO scoring and revenue outcomes [28]