American Elephants


Life’s Little Surprises Always Await Us. by The Elephant's Child

In the Wall Street Journal today, James Freeman brought up the historic tax reform that Trump signed in December may turn out to be his finest hour, ‘trumping’ even  the firing of James Comey. So many companies have reported positive news from the tax law, even though it’s barely four months old.  The Journal calculated that the four giants of American retail banking— JPMorgan, Wells Fargo, Citigroup and Bank of America have saved a total of $2.3 billion in the first quarter thanks to the new federal corporate tax rate of 21%, down from 35%.

Is that a big deal? Nancy Pelosi is arguing that the tax cut is a useless disaster, and when the Democrats get back in they will promptly raise taxes back to where they should be. (This is a campaign promise? Why?)

Wages have been growing. “Kroger, Walmart, Target Corp. and other food retailers are investing savings from the federal tax law to boost worker pay and benefits, ” the Journal reported recently. John Kartch at the advocacy group Americans for Tax Reform has been keeping a running tally of businesses (now 507) responding to their lower tax bills by announcing pay raises, bonuses, and higher 401K matches. The good news began to arrive almost as soon as President Trump signed the legislation.

Democrats seem to have a hard time getting their minds around the basic consequences of economic incentives. The Labor Department has reported that this is oficially the best job market for those seeking work in the history of  U.S. government statistics. Lefties are quite sure that the best results come from soaking the rich, by which they seem to mean the Koch Brothers, rather than themselves and their friends and supporters.

Ann Althouse notes that a new WaPo poll “finds that the gap between support for Deocatic vs. Republican House candidates dropped more than half since the beginning of the year.” A WaPo/ABC News poll found that 78 percent of registered voters considered voting for a candidate whose views on gun rights and gun control matched their own was either very or extremely important. 21% said it was somewhat or not important at all.

Investors Business Daily reported in an editorial on the macroeconomic effects of the tax reform bill. The Congressional Budget Office admitted that they had vastly overestimated the cost of the Trump tax cuts, because it didn’t account for the strong economic growth they would generate.

In any case, the CBO now expects GDP to be $6.1 trillion bigger by 2027 than it did before the tax cuts.

The CBO report also makes clear that this faster-growing economy will offset most of the costs of the Trump tax cuts.

In a table buried in the appendix of the CBO report, it shows that, before accounting for economic growth, the tax cuts Trump signed into law late last year would cut federal revenues by $1.69 trillion from 2018-2027.

But it goes on to say that higher rate of GDP growth will produce $1.1 trillion in new revenues. In other words, 65% of the tax cuts are paid for by extra economic growth.

Well, goodness. There might just be some reason to question conventional wisdom. The Center for Immigration Studies reported a few weeks ago that Trump’s Wall on our Southern Border would, over time, pay for itself, because illegal immigrants add a lot of cost with their dependence on welfare, crime, benefits and health care.  Who knew?  One can only urge Ms. Pelosi to keep railing about the necessity of raising taxes.

Among other surprises, a previously unknown asteroid the size of a football field had a near miss with Earth on Sunday. It came within one half of the distance to the moon.  It was the largest known asteroid to pass that close to Earth in observational history. Life always has interesting little surprises for us, even if we are paying attention.



We Aren’t Recognizing the Anger and Despair! by The Elephant's Child

Former FBI  Director James Comey’s new book is being released today, and he will be on a long book tour trying to push the book. He hates President Trump, whines like a 9-year-old, and reflects badly on the organization that he formerly headed. He expected Hillary to win, his wife was really excited about having a female president. He has not behaved well, and serious FBI people are concerned for the reputation of the agency.

Democrats clearly expected Hillary to win, but for the most part they seem to be pretty much done with her. I think that it wasn’t so much Hillary’s loss, but that red map of all the counties in the country that went for Trump. I suspect that they didn’t even consider the possibility that Trump might win, it was unthinkable. All those Republicans, a despicable bunch, and most of the Democrats had particular Republicans to hate, but the idea that Trump could triumph attacked all of their sureties, their world view, the things he espoused were beyond the pale — cutting taxes, closing the border.

Republicans aren’t all that inclined to fall in love with presidents. They recognize that presidents are only ordinary men, with all the flaws and faults of ordinary men, perhaps a little more so, when they suddenly become “the leader of the free world.” The “Never Trumpers”, certified members of the ruling class, were appalled by his tweeting, although many of them were on Twitter as well, but a president—tweeting? Clearly beneath the dignity of the office! His speech offended! Dan Bongino, who is from Queens, said Trump talked like someone from Queens who was in the construction trade. Trump told the people what he thought, and who he did not like nor trust. Beneath the dignity…

Barack Obama was, as someone said—a real good talker. Flowery words, designed to rouse the emotions, but fairly devoid of meaning. But people were thrilled, including the Nobel Prize committee, Not much follow through.

I think it’s that map. The Democrats lost control of practically everything, a huge,  immense loss. Their reason for everything is control. They are the intelligentsia. They are destined to run everything as soon as they dispose of the annoying Republicans. They went to the best schools, they run the biggest companies, they have the most billionaires, and all the movie stars, and the Republicans are backwoods people, racists, sexists, deplorables from flyover country. Who even knows what is down there when you fly from one enlightened coast to the other? Hillary thought it was her due, her destiny. She’s still out complaining, but the Democrats are done with her, and looking for someone who can restore their rightful place in the universe.  Joe Biden?




%d bloggers like this: