Rebranding Obama’s Economy

Jonathan Chait: “After depicting the American economy as a bleak wasteland before his election, Trump has rebranded it as unimaginable prosperity, fueled by the hope inspired by his brilliant reforms. In fact, nothing has yet changed. Economic growth and job gains are running slightly behind the pace of Barack Obama’s second term. (The economy created 214,000 jobs per month in Obama’s second term, and 174,000 in Trump’s first year.) Wages have risen at approximately the same level they did in 2016. It is possible that tighter labor markets will produce faster wage gains, or that the deficit spending Trump has enacted will help short-term growth accelerate. But his rhetoric of economic success is based on absolutely no actual accomplishment.”

New York Times: “Never mind that in some fundamental ways the economy is growing no faster than it did at points during President Barack Obama’s second term. Mr. Trump is at heart a salesman, and he rarely lets details get in the way of a good story. And by some measures, he has managed to convince many Americans, especially corporate leaders, that the economy really is surging in a way it has not for years.”