Barely a month into what should have been Donald Trump’s term, it’s not surprising to see a group of Republican activists seemingly preparing to divert his popularity and upset the administration’s plans with their push for a hefty tax cut. The Club for Growth, which advocates for free enterprises, claims that upholding the massive tax cut implemented by Trump during his tenure is paramount since it supposedly ‘brought unparalleled economic growth.’ A claim that isn’t only exaggerated but blatantly false.
Contrary to the advocacy group’s statement, the economic growth experienced in the year following the enactment of the tax cut law was significantly less than the previous year. Worse still, the subsequent two years after the law’s passage saw a decelerated growth streak, falling behind all other two-year periods during the economic escalations in the 1990s and 2000s. Hardly the sort of ‘record’ anyone with a sense of reality would want to flaunt.
Interestingly enough, tax cuts are far from being the main concern for the American public, including the working class who form the foundation of the Republican coalition, or even the Republican Party itself. This misplaced priority is again clearly evidenced in a mid-January poll where only a meager 1 percent of voters believed tax reform should top Trump’s agenda now. This statistic itself speaks volumes about the out-of-touch nature of these activists’ aspirations.
Delving further, we find most working-class voters (who would arguably benefit the most from spending cuts) would rather Congress increase taxes on corporations and households with income exceeding a quarter-million dollars before chopping down spending. It’s ironic that even Republican respondents, comprising three-quarters of this sample, favored tax hikes as part of any budget solution. The stark contrast between the beliefs of these Republican voters and the advocacy group agenda cannot be overlooked.
The intriguing part of this scenario is that the enormous tax cut from Trump’s term is due to run out this year. Along with this, the fact that the federal budget deficit is significantly larger than it was eight years ago sits uncomfortably with the genuine fiscal conservatives in the Party. They are rightfully opposed to simply prolonging the tax cut for another eight to ten years. However, the inflexible anti-tax activists stubbornly believe this is the only feasible plan.
Adding fuel to the fire, we see how special-interest campaigns have earned notoriety over recent years. These so-called ‘groups,’ notorious for advocating extreme leftist views on subjects such as immigration, race relations, gender identity, and climate change, have pushed a lot of the public away and shunted their party far from the typical voter. However, let’s not neglect the fact that the other side of the aisle isn’t free from its share of special-interest groups who dutifully mirror the destructive aspects noted in progressive circles.
Among these incessant tax-cutting crusaders, grouping together with the Club for Growth, one can see the glaring disregard for the electorate’s priorities and federal budget realities. They’re relentless in their quest to slash taxes at every junction, ignorant of what the majority of voters prioritize or what the federal budget can sustain. This total disconnect from the reality of America’s fiscal health and the average citizen’s needs is troubling for the future of sensible fiscal policy.