After months of economic uncertainty and decline, President Trump is feeling hopeful. In what was a briefing to reporters on the COVID epidemic, President Trump focused on the June unemployment report, and promised America that the economy will come roaring back.
President Trump made sure to position himself to those watching as the presidential candidate who can help America recover from the shutdown. He told reporters, “In the second quarter, the Dow Jones increased 18 percent. It’s the best in 33 years.” President Trump also focused on VP Biden’s promise to reverse President Trump’s tax cuts. After laying out the economic recovery numbers, he said, “the only thing that can kill it is a bad president or president that wants to raise taxes. You want to raise taxes? This whole, your 401k’s will drop down to nothing and your stock market will drop down to nothing. This is not just luck what’s happening. This is a lot of talent.”
The former VP has come under fire for his tax proposal amidst an uncertain economy. President Trump has immediately jumped on the issue, as reports trickled into the press that his campaign was stressed. In March, around 40 million Americans filed for unemployment. But the June jobs report showed unemployment drop to 11.1 percent and the addition of 4.8 million jobs.
As COVID cases have increased in states that opened their economy earlier than others, people have been fearful the economy would once again shutdown. There are political fights about masks and social distancing, as the future remains uncertain. President Trump, however, has promised a strong third quarter in response.
To aid this process, Treasury Secretary Steve Mnunchin said the administration will “seriously consider” a second cash payment to help stimulate the economy. These cash payments will mirror the CARES Act, which sent payments of $1,200 to Americans earning less than $75,000, and $2,400 to couples who make less than $150,00 together.
Congress is expected to work on a stimulus package. The House passed the HEROES Act, a $3 trillion relief package, but it has been stalled in the Senate. Republicans have called out Democrats for misusing this bill for their own pet projects, instead of focusing on economic relief.