In the few months that President Donald Trump has been in office, many would agree that the US has already seen several changes in its economic policies. From having a Democrat in Barack Obama to having a Republican in Donald Trump, the country is bound to see even more changes in the years to come. Whether these changes are good or bad is completely up to the people. For now, all we can do is take everything that the Trump administration has done so far and try to see what direction his policies will take the country.
- America First Policy
Ever since his candidacy, media coverage of Trump administration news has already shown his vision of making America “great again”. According to him, the country has long been giving a big chunk of its budget to foreign aid. The time has come to focus more on America’s problems before giving aid to those outside.
Apart from cutting its budget for foreign aid, the Trump administration is also looking into reducing its deficits by bringing in more revenue. By focusing on reviving industries such as the oil and gas industries, President Trump believes that these will help expand the country’s economy.
President Trump also plans to bring more jobs into the country by slashing outsourcing from countries like China, Japan, and Mexico. This can be achieved by making the US a manufacturing country once again.
- Energy Before Environment
Since Trump’s administration will focus on bringing back the coal industry, the country should expect its environmental policies to take a backseat. Trump has already taken significant steps in cutting down some of the country’s environmental programs that Obama helped move forward such as the Paris Climate Accord. The Paris Climate Accord is an agreement among 195 countries to cut down their carbon dioxide emissions and to provide aid to developing countries suffering from the effects of climate change. The country’s withdrawal is a significant move as the US is responsible for 20% of the world’s carbon emissions. Without the country’s participation, the other countries would have a harder time to reach the agreement’s goal.
- Obamacare vs Trumpcare
The country’s healthcare system is also bound to change with the Trump administration pushing for the American Health Care Act. This aims to amend Obama’s Affordable Care Act by allowing health insurers to do business in other states and allowing consumers to buy drugs overseas. This could also affect the millions of people given health insurance during Obama’s time, as the ACA made it possible for everyone to have insurance. With AHCA, these people could possibly lose their insurance.
- Tweaking Government Spending
President Trump has proposed to reallocate the government’s budget. He has cut down the budget of the Department of Education and the Environmental Protection Agency. He then increased the Department of Defense’s budget 10 percent, showing where his administration’s priorities lie.
There have been speculations that the Trump administration is pushing towards protectionism which many countries are definitely going to disagree with, especially in this globally-integrated world. He has suggested putting taxes on imports from China and Mexico which would only make things worse for the US economy since a majority of these imports are actually owned by American firms. This would then increase the costs of American firms, resulting in higher retail prices.
The country’s economic policies are definitely taking a different turn with Trump’s win as President of the United States. With 4 years to go in his term, who knows where the Trump administration will the us?