Tags: Gallup | Economic | Confidence | Democrats | Outlook

Gallup: Economic Confidence Hits 6-Month Low on Democrats' Sour Outlook

Gallup: Economic Confidence Hits 6-Month Low on Democrats' Sour Outlook
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By    |   Wednesday, 07 June 2017 08:07 AM

Americans' confidence in the economy fell to a six-month low in May, largely dragged down by Democrats' worsening economic attitudes.

While Americans' confidence in the economy remains stronger than it was before the 2016 presidential election, it is not as strong as it was earlier this year.

Gallup said its U.S. Economic Confidence Index averaged a score of plus-3 in May, down slightly from April (plus-5) but eight points below January's record monthly high (plus-11).

Republicans' confidence rose more sharply than Democrats' fell in the weeks after Trump's election. “However, polarization being as it is, it seemed likely that Democrats would become increasingly pessimistic about the economy as the Obama administration (and its influence on the economy) fell farther in the rearview mirror,” Gallup explained.

Meanwhile, economic confidence among Democrats plunged to its lowest level since November 2011, when confidence was recovering from the tumble it took during the standoff between Congress and former President Barack Obama over raising the federal debt ceiling.

Gallup's U.S. Economic Confidence Index is the average of two components: how Americans rate current economic conditions and whether they believe the economy is improving or getting worse. The index has a theoretical maximum of +100 if all Americans were to say the economy is doing well and improving, and a theoretical minimum of -100 if all were to say the economy is doing poorly and getting worse.

Meanwhile, some of the most respected economic minds of modern times are urging patience while the Trump administration tries to fully implement its plan to truly "Make America Great Again" despite Democratic opposition at seemingly every turn.

Larry Kudlow, the economic guru and former adviser to President Ronald Reagan, recently told Newsmax TV’s Steve Malzberg on YouTube that, for example, Friday's jobs data wasn't the major disappointment that the liberal big media reported it to be.

Nonfarm payrolls increased 138,000 last month as the manufacturing, government and retail sectors lost jobs, the Labor Department said on Friday. The economy created 66,000 fewer jobs than previously reported in March and April.

Economists had forecast payrolls increasing by 185,000 jobs last month and the unemployment rate holding steady at 4.4 percent, Reuters reported.

Details of the employment report were weak. Though the unemployment rate fell one-tenth of a percentage point to its lowest level since May 2001, that was because 429,000 people dropped out of the labor force.

“We're in the eighth year of recovery, although it's a lousy recovery, but I don't expect any miracles out of the jobs,” said the author of "JFK and the Reagan Revolution: A Secret History of American Prosperity," written with Brian Domitrovic and published by Portfolio.

“You get miracles out of the jobs if you stimulate business investment and if we the darn tax cuts through, then you'll see a pickup,” said Kudlow, a Newsmax Finance Insider.

“There's nothing really great or new happening out there. That's why I think the business tax cuts proposed by Trump are so darn important. The sooner they get that through the faster we're going to grow,” said Kudlow, who worked as Reagan’s budget deputy between 1981 and 1985.

“All I'm saying is with the jobs slowing down you're still at 2 percent real GDP zone. So unless you change some of these anti-poverty programs, the small entitlements to provide incentives for people to go back to work or Bill Clinton reforms to put eligibility requirements on them once again which were decimated, that's also in Trump's budget, and/or you got to get your business tax cuts through. That will boost jobs and that will bring a lot of new people back into the labor force.”

And while his first few months have been volatile and controversial, Trump will be a demanding leader who applies the best of his negotiating skills to push for U.S. growth, bestselling author David Horowitz told TheStreet.com.

Trump won’t be an ideological purist like Republicans who support free trade but don't fight for fair trade, said the author of "The Big Agenda: President Trump's Plan to Save America,"

“If you just say, ‘well we're for free trade and we're not going to look at the deals that we make’ -- that's not a good idea,” he said. “We've had an anti-business president now for eight years who doesn't take a hard-nosed attitude towards these deals. Trump is going to get better deals for us, which is still free trade.”

“If the economy grows as it will under Trump, there's going to be a lot more money to spend,” he said.

"Big Agenda: President Trump's Plan to Save America" is available at bookstores everywhere – or get your copy on Amazon – Click Here Now

(Newsmax wire services contributed to this report).

© 2019 Newsmax Finance. All rights reserved.

   
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Americans' confidence in the economy fell to a six-month low in May, largely dragged down by Democrats' worsening economic attitudes.
Gallup, Economic, Confidence, Democrats, Outlook
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2017-07-07
Wednesday, 07 June 2017 08:07 AM
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