The debate between Donald Trump and Joe Biden carries significant implications for the U.S. economy due to their differing political orientations. Below are the key areas where their policies differ and the potential economic impacts.
A Trump presidency is likely to lead to tax cuts for corporations and high-income earners, which could result in faster economic growth, increased inflation, higher budget deficits, and higher treasury yields, implying a rise in U.S. stock market indices and a modest increase in the dollar.
In contrast, a Biden presidency will focus on raising taxes on the wealthy to fund social programs, reducing income inequality, and promoting green energy, which could lead to increased revenues but slower economic growth due to the higher tax burdens on companies, implying an increase in the dollar and curbing U.S. stock market indices.
The outcomes of their debate and the subsequent elections will shape these economic policies and their impact on the overall economy and personal finances.
