Democrats’ superior performance on economy would continue under Harris

Before the upcoming November elections, Americans looking for more money in their pocketbook should take the time to read a recent report by famed global investment and financial services company Goldman Sachs. According to Goldman, an electoral victory for Kamala Harris and other Democratic congressional candidates would be better for the economy than their Republican counterparts.

Goldman projects that Harris’ policies, which focus on supporting middle-class Americans and small business, would lead to tens of thousands of good-paying jobs being created each month and growth in consumer confidence, spending and gross domestic product (GDP) — all without increasing inflationary pressures.

The prospects for increased prosperity are particularly profound if voters give Democrats unified control of both chambers of Congress and the White House. In that case, Democrats could block any extension of the Trump-era government handouts for the wealthiest Americans and largest corporations. They could then redirect that funding into programs Harris and her fellow Democrats are championing, including small-business development, America-based manufacturing opportunities and programs that make housing, child care, education and health care more affordable for middle-class families.

By contrast, Trump’s policies — especially his proposals around immigration, government handouts for America’s wealthiest citizens and corporations, as well as his promise to implement higher tariffs on imported goods — would likely harm the economy, slowing growth, increasing inflation, risking a global trade war that hurts U.S. exports and raising costs for American consumers.

“We estimate that if Trump wins in a sweep or with divided government, the hit to growth from tariffs and tighter immigration policy would outweigh the positive fiscal impulse,” Goldman analysts wrote.

In fact, Goldman Sachs estimates that Trump’s tariffs could slow GDP growth by as much as 0.5% — a significant drag on the economy that would hurt middle- and working-class families the most. Remember, Trump is a failed businessman by any measure, not a successful one. And even while failing, he ripped off the small businesses foolish enough to trust him. Why entrust the economy to someone who has bankrupted business after business?

While Goldman’s conclusions may come as a surprise to the roughly 43% of Americans who say they trust Trump more than Harris when it comes to economic policy, they are not surprising to economists and investors who follow historic economic trends. Despite Republican claims of being the party of job creation and economic growth, the data is clear: Since 1945, Democratic administrations have consistently outperformed their Republican counterparts in almost every economic metric.

Over the past eight decades, the GDP has grown at an average of 4.1% under Democratic presidents, compared with just 2.5% under Republicans, and Democratic leadership has also resulted in lower unemployment rates, higher wages and stronger stock market returns.

These economic achievements have been particularly evident during the Biden-Harris administration. Just last week, one of the oldest and most commonly used measures of economic health and stock market performance, the Dow Jones Industrial Average, closed at an all-time high of 41,563, more than 10,000 points higher than its peak during Trump’s term.

After inheriting a pandemic-battered economy, President Joe Biden and Vice President Harris have presided over a remarkable recovery. By mid-2022, total U.S. employment had fully recovered from the pandemic’s devastating job losses, and job growth has continued at a robust pace. Unemployment remains near historic lows, while wages have outpaced inflation for the past year.

In addition to their success in fostering growth in employment and wages, Biden and Harris have championed landmark investments in U.S. infrastructure and manufacturing, such as the Infrastructure and Jobs Bill, the Inflation Reduction Act, and the CHIPS and Science Act. These initiatives have already generated nearly 800,000 new manufacturing jobs.

The benefits of these policies are being felt across the country, including in Nevada, where many of these new jobs are located. Even the notoriously conservative U.S. Chamber of Commerce has been impressed with Biden’s Investing in America agenda, describing the passage of Biden’s three landmark bills as a “historic victory for the American people.”

Harris’ proposals seek to expand on the best part of Biden’s bills while leaving the weakest and most inflationary elements behind. Specifically, Harris has proposed a significant expansion of tax incentives for small businesses, which would encourage entrepreneurship and job creation. By increasing startup tax credits from $5,000 to $50,000, Harris aims to spur the creation of 25 million new small businesses over the next four years. This plan would not only drive job growth but also contribute to greater economic mobility for middle-class Americans.

Harris has also unveiled an ambitious economic plan that targets one of the most pressing challenges facing American families today: housing affordability. She and congressional Democrats such as Nevada’s own Steven Horsford are pushing for policies that would increase the availability of affordable housing, incentivize first-time home buyers and limit the ability of corporations to hoard residential properties.

By contrast, Republican economic policies have focused almost exclusively on providing tax breaks for the wealthiest Americans in the hopes that they will trickle down benefits to the rest of the country.

As voters head to the polls this fall, the choice is clear. A vote for Harris is a vote for continued economic growth, job creation and policies that prioritize middle-class Americans. A vote for Trump, on the other hand, risks economic stagnation and higher costs for everyday consumers. If you care about the economy, the evidence points in one direction: Kamala Harris and the Democrats are the right choice.