Economists are saying Donald Trump’s economic plan defies logic, mixing ideas from the left and right in ways that experts say will provide little-to-no benefit to the middle class.
Trump’s proposed plan is heavily reliant on trickle-down tax cuts, but also includes deregulation of the financial sector and other measures.
The unusual mix of policies, which were unveiled in Detroit on Monday, are Trump’s latest effort to boost his dismal ratings in the polls and regain momentum.
But his plan may not be getting the reaction he had hoped for, with several financial services executives and economists criticizing the proposal due to lack of specifics.
Mitt Romney’s former top policy aide, Lanhee Chen, said the plan “appears to be the good, the bad and in some cases the ugly.”
Analysts on Wall Street were also critical of the plan, which they also said was vague and relied on questionable statistics.
One area that was crystal clear was Trump’s proposed tax cuts for corporations and individuals. Ditching his old proposal of 0, 10, 20 and 25 percent brackets, the GOP nominee’s new proposal is based on House Speaker Paul Ryan’s proposed brackets of 12, 25 and 33 percent. Trump still intends to cut the top corporate tax rate from 35% to 15%.
Trump has also proposed a child-care tax deduction, but experts say the measure would cost $20 billion per year and only benefit wealthy families.