President Donald Trump is an “unhinged madman” bent on destroying the U.S. economy, according to Reagan-era budget director David Stockman.
Stockman, who is on a book tour promoting his new anti-Trump book, “Peak Trump: The Undrainable Swamp and The Fantasy of MAGA," said while speaking to Yahoo’s “The Ticker” that the president is currently waging a total of four wars against his own economy: wars on trade, the border, the Federal Reserve, and the nation’s fiscal policy.
CCN’s report on the interview noted that Stockman blasted Trump as “delusional,” “saying that when you have an ‘unhinged madman in the Oval Office…anything is possible.’”
In Stockman’s view, Trump is nowhere near making America great again as he continues his assault on the economy.
The Trade War
“The trade war is a war on consumers,” Stockman said, noting that the cost to consumers will increase significantly is tariffs rise from 10 percent.
But Trump has not backed down on his tariffs scheme, despite complaints from various sectors of the economy and a study last year showing that the cost of those tariffs per American household in 2019 will be about $2,400.
The Border War
Stockman sees Trump’s stance on the U.S.-Mexico border as a “war on immigrant labor,” saying, “We shouldn’t be having a, you know, silly battle over a wall on a border where there isn’t a crisis.”
Immigrant labor becomes increasingly necessary as the U.S. labor force contracts, he said.
The War on the Federal Reserve
Trump has made no secret that he believes the Fed should be working for him and not against him, appearing to take its decisions to raise interest rates personally and accusing its board of knowing nothing about how the economy works.
For Stockman, Trump’s words appear to have had an effect, as the Fed abandoned its plan after the president’s attacks:
“For crying out loud, 10 years, interest rates have been below the inflation rate, which means zero money market costs. It’s been a boon like never before to speculators. It’s done nothing for Main Street.”
The War on Fiscal Policy
Stockman believes Trump’s fiscal policy is ushering America toward “its last months of business growth and that raising the budget deficit at the top of a ‘business cycle’ will only deliver ‘bad results.’”
“He’s conducting a war on the nation’s solvency with a fiscal policy that is more out to lunch than anything I’ve seen since 1970,” Stockman said.
Trump is not making America great again, Stockman said; rather, he is pushing the U.S. economy toward “a historic recession that’s been held at bay for three decades.”