Trumponomics

"Detroit will come roaring back." -- Donald Trump

   The Republican nominee for President gave what was billed as his most detailed plan for economic policy on Monday.
   As expected, the speech stressed tax deductions and deregulation as its key elements, but as for real detail, there wasn't really much. Moreover, in all his promises that started with "I will ... " there was little explanation of how as President he would get the approval of Congress. The American government still operates on a structure of three co-equal branches -- legislative, executive and judicial.
   Republican Donald Trump vowed to "repeal and replace Obamacare," the universal health care plan named after Democratic President Barack Obama. This, he said, would create thousands of new jobs. How that would happen was not explained.
   Also, Trump noted that businesses in America pay "the highest taxes in the world," at 35 percent, and his plan would reduce that tax level to 15 percent. Analysts have repeatedly pointed out that this claim is untrue. The actual tax rate paid by American firms averages about 12 percent, with some paying none at all as they take advantage of loopholes and other benefits in the U.S. tax structure. All of which means American businesses rank about 16th in worldwide tax rankings.
   Another plan touted by the candidate was to eliminate the estate tax, or what he called the "death tax," in which inheritances are taxed when a member of a family dies. He did not specify how many families would be affected by this plan, or how much they would benefit from the proposed change.
   As for his claim that "Detroit will come roaring back" in an economic resurgence, Trump provided no details. It is true that the city once famous for its many auto manufacturing facilities came upon hard times as car makers moved to other regions of the country and to other countries in search of lower production costs. It is also true that Pittsburgh, once dominant in steel making, employs fewer people but now produces the same amount of steel. Technology enables companies to make as much or more stuff even as they employ fewer workers. The key is higher education, higher skill levels and better technology.
   In short, the highly touted economic message was long on promises but short on detail, and in some details erroneous.