1/ There were effectively three throttles on the economy thwarting Trump’s vision of massive expansion, particularly of the manufacturing sector. One was the Fed holding interest rates artificially high. That’s gone.
2/ The second throttle was spending caps initially imposed as part of the sequester. We are now on the verge of massive fiscal stimulus. Third is an artificial throttle that Trump self imposed. Partially to influence China in restructuring their trade relationship with the US.
3/ But Trump also used tariffs to influence the two other groups, the Fed and Congress, that controlled the other throttles in order to break them by using their desperation, to overcome Trump’s self imposed tariffs, against them.
4/ Now once the fourth stimulus is passed the only throttle left is the one Trump controls all on his own. That he can release at any time he chooses. That’s the reality almost no one is understanding. I haven’t seen one mainstream journalist explain what I just laid out.
5/ Why? Imo it’s because to tell this story you have to admit Trump is a genius who does things that no one else would and actually meticulously plans for long term outcomes. Something they cannot admit to themselves or allow the public to accept. /end
