1) Economic cycles. The economy has actually been doing very well for many years, although 2014-2016 we stagnated, we actually left that stagnation cycle nine months before Trump was elected. Most fund managers have been ultra-bullish since March 2016.
2) The business-focused tax cut. It nearly doubled potential operating incomes (net profits) after tax, providing dramatic potential for capital expenditure and/or stock buybacks. Companies who saw room to expand operating revenue did so; those who did not could use the extra profits to either buy up their stock--providing them with both an asset to make future capital expenditures and a reward to their shareholders--or make capital expenditures designed to cut operating costs, widening their profit margin--again, rewarding shareholders.
None of this is particularly helpful to workers, which is the main criticism from the left. It's great for investors, though.
Dat_Cracka_Jax posted...
there are jobs available for people who want them.
Not...really. We're actually facing a skills shortage. There's a huge misalignment between people who are looking for work (or who have given up looking and are either long term unemployed or working jobs way beneath their skillset, but would take a good job if the opportunity were available) and employers looking for skilled workers.
What we need most right now is a massive retraining program designed to allow working-class families whose breadwinners worked in dying/dead industries to shift to other work. The problem is there is political opposition to many of our fastest-growing industries.
Thanks for the response. I was looking at this from an investor perspective, as my 401k and IRA have seen great growth since the election.
I'd support a retraining program. It is clear that we need more skilled labor (and people who actually want to learn the skill).
If the market continues to boom, I don't see why I shouldn't vote for trump in 2020 if he's a candidate. I don't want to change anything that could upset that. ---
