Moody’s: Clinton’s plans would strengthen economy

Posted by | July 30, 2016 11:18 | Filed under: Economy Politics


Low- and middle-income households would benefit if Hillary Clinton’s economic plans are put into effect.

Moody’s looked at what would happen if her plans were fully or partially implemented through the year 2026. Some of it is standard fare: it found that her proposals to spend government resources on infrastructure would stimulate the economy and that financing the spending by levying more taxes on the wealthy would not have a significant economic impact. It also warned of a minimal negative effect on jobs stemming from her call for a higher minimum wage (although there is good evidence that the economy can swallow minimum wage increases without significant job losses).

But the economy would also benefit greatly, according to Moody’s, from more unique aspects of Clinton’s agenda. Long-term growth would be particularly fueled by expanding the country’s workforce and giving people access to better education and skills. That would be accomplished in large part through a national guarantee of paid family leave — which has been shown to keep people in the labor force — and investments in expanding preschool to all four-year-olds and making college more affordable. Moody’s also notes that immigration reform would be a significant factor for increasing the workforce and thus boosting productivity.

All told, Moody’s finds that if Clinton implemented all of her policy prescriptions, the economy would be 1.7 percent larger than its current projected course, there would be 3.2 million more jobs, and the average American household would have $2,000 more in after-tax income. The poor and middle class would benefit the most, keeping their tax bills about the same but getting far more in government assistance, while the wealthy would pay “much more” in taxes.

Moody’s also said this would be accomplished without a huge impact on the federal budget. Instead, it found that her plans would cause a “modest” increase in budget deficits. In fact, if she didn’t propose undoing the sequester — the automatic budget cuts that were put in place in 2013 as part of a budget deal — her proposals would be deficit neutral, with the new government spending all but covered by increases in taxes on the rich.

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Copyright 2016 Liberaland
By: Alan

Alan Colmes is the publisher of Liberaland.

9 responses to Moody’s: Clinton’s plans would strengthen economy

  1. Larry Schmitt July 30th, 2016 at 13:49

    Higher taxes on the rich? Help the middle class and poor? More jobs? Oh no, that won’t do. We have to bail out those poor billionaires, so they can generously trickle down on us. https://memegop.files.wordpress.com/2013/12/reagonomics1.jpg
    http://blogforarizona.net/wp-content/uploads/2014/08/trickle-down.jpg

    • Ned Nutley July 30th, 2016 at 13:57

      No society can survive with all the money concentrated to the top!

      • fahvel July 31st, 2016 at 06:28

        no society will survive when the only objective is to keep the people working in order to maintain the top 1%. That is what global economics is, a process to keep billions busy so a few can maintain their own billions and maybe, in the future, the close future, their fkn trillions. The entire system sucks but hey, keep em mesmerized at dizzyland and in front of malls etc – screw people,eh?

    • bpollen July 30th, 2016 at 17:22

      I think of Reaganomics as the first step in the rise of neo-feudalism.

  2. Ned Nutley July 30th, 2016 at 13:59

    Keep up the momentum–HILLARY 2016!
    never in my life have I seen so much new construction and so many help wanted signs around, and don’t listen to the rightwing lies, those are decent jobs, that’s why you see so many new cars around.

  3. Granite Skyline July 30th, 2016 at 15:17

    Good luck convincing a GOPer that anything other than banning immigrants, forcing transgendered people into the wrong bathroom, and making Christianity the national religion is what will save this country.

  4. Gary Parillo July 30th, 2016 at 18:02

    Moodys then tried to look at donnys economic plan,but couldnt find one.

  5. mistlesuede July 30th, 2016 at 23:54

    She has to win.

  6. amersham1046 July 31st, 2016 at 20:09

    Hell what does Moody’s know about the economy, everybody know he best way to run an economy is to run other peoples money thru a Trump Filter (pat. pending) take your share and let the rest figure out what has happen to theirs (franchises may be available in your area just call 1.800.TRUMPED)

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