Earlier in the week, reports revealed that the American economy is slowing down. CNBC wrote that “U.S. economic growth was much weaker than expected to start the year, and prices rose at a faster pace, the Commerce Department reported Thursday.
Gross domestic product, a broad measure of goods and services produced in the January-through-March period, increased at a 1.6% annualized pace when adjusted for seasonality and inflation, according to the department’s Bureau of Economic Analysis.
Economists surveyed by Dow Jones had been looking for an increase of 2.4% following a 3.4% gain in the fourth quarter of 2023 and 4.9% in the previous period.”
In response, Biden announced that he intends to make things worse. Fox News revealed that the White House wants to increase taxes as part of his running to the left for the 2024.
President Biden’s latest proposal to hike the top capital gains tax rate to its highest level in more than a century is facing heavy criticism from experts who warn such an action could significantly harm the U.S. economy.
According to a report issued by the Treasury Department, led by Secretary Janet Yellen, the president’s proposed fiscal year 2025 budget would increase the top marginal rate on long-term capital gains and qualified dividends to a staggering 44.6%. A capital gains tax hike of that magnitude would take the rate to its highest level since it was first introduced in the early 1920s.
“Investment is the real driver of economic growth,” E.J. Antoni, an economist and research fellow at The Heritage Foundation, told Fox News Digital. “Investment is what gives you productivity gains. Investment is where you get factories and machines — it’s where businesses are able to provide their workers with tools and equipment that allow them to increase their productivity, to increase wages, etc.”
“If you’re going to tax something, you get less of it,” he continued. “And that’s just as true for investment as it is for anything else. Taxing capital gains means less investment, it means less economic growth, and it means the rise in people’s standards of living is going to slow dramatically.”
“Bidenomics” will likely become one of the greatest political blunders of all time and this move would effectively tax people’s savings, making it even more difficult to retire in the future.
Not that Biden particularly cares, or even knows what’s going on. The day after the economic reports, the president told workers in Pennsylvania, “Folks, one of the reasons I ran for President was to rebuild the backbone of the middle class, and we have. We’re following my blue-collar blueprint to rebuild America. And guess what? It’s working.”
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