That's quite a crystal ball they got there at Treasury.
It is unclear what is more ridiculous: that the propose gift to corporations will not only pay for itself but lead to a perpetual engine of trickle-down economic growth, one which has been refuted in every single instance in history, or that the Treasury expects the US economy to continue for another decade without a recession, which in 2027 result in an 18 year period of continuous growth since the last official recession ended in 2009, the longest period without a recession in history.
ZH gets this right, but the rest of the post is not worth reading.
Zero Hedge
Treasury Forecasts Tax Reform Will Lead To Longest Period Without Recession In History
Tyler Durden
The Dept. of Goldman Sachs has come to the conclusion that it will be game over the next time they crash the economy and get a huge handout. Therefore the time-tested, proven and honored Pump and Dump strategy is on hold until further notice.
ReplyDeleteMeanwhile luxury sales are in limbo as people with dough are afraid something is going to change. Trickle-down has been reduced to an occasional drip (based on Miami art sales last week).
“since the last official recession ended in 2009,”
ReplyDeleteWouldn’t have happened in the first place without Fed policy forcing banks quickly into 100s of $B non-risk assets beginning as early as November 2007... causing general credit contraction...
“Of course, when the next recession hits no later than 2019”
Now we are looking at either a long period of slow removal of these non-risk assets OR regulatory reform that removes non-risk assets from use in the bank regulatory ratio completely....
Both possibilities very bullish imo .... if continued...