Steve Mnuchin knows very well that his tax cuts package is not going to spur economic growth or consumer spending in the broad middle class. They will just raise interest rates with catastrophic economic effects. Foreclosure king Mnuchin is eyeing the bounty of seizing more people’s houses, businesses and assets, no doubt, as their debts become unserviceable and the economy flags.
McKinsey Global Institute has calculated that the debt of privat households will increase by 7% for every one per cent increase in interest. The debt of the USA is 20 trillion. For every 1% increase, the USA will have to spend an extra 200 billion in interest.
Unfortunately, John Kelly did not insist on seeing the analysis himself before pushing this tax package.
From The Independent
The Treasury Department’s inspector general is examining whether political considerations interfered with Secretary Steven Mnuchin’s promised analysis of the Republican tax proposal.
“It’s a top priority,” Rich Delmar, counsel to inspector general Eric Thorson, said Thursday in an email. Delmar said he could not provide a timeframe for when the inquiry would be complete because it would depend on how quickly the department’s official watchdog receives the information and “how complex issues are.”
In a letter early on Thursday, Senator Elizabeth Warren asked Thorson’s office to review whether Treasury resources were used to research the tax plan, and why no analysis has been released to the public or Congress. Mnuchin has repeatedly pledged that the Republican proposal would pay for itself through economic growth, and that his department would provide detailed analysis to support those statements.
But, with the Senate preparing to vote on the tax overhaul this week, Mnuchin has yet to deliver the analysis.