I have seen a lot of know-it-all democrat voters posting in the last few days about how Trump's economic strategy is bound to fail and those who voted for him for economic reasons are fools. Obviously I am extremely sceptical of these people, as economic literacy has never been a strong point of progressives (not to mention how they are all suddenly experts, like how they were for virus propagation, climate change, etc.).
Nonetheless, I myself am no economist. Can somebody with a better understanding explain the strategy to me, and also any potential ways in which it COULD backfire in the way progressives are suggesting?
An argument against is that they're a long term investment and that the cost will not be worth it if the electorate is impatient. The inflation is an upfront cost. Potentially offset by dropping fuel prices, but still a cost. The payoff is that more people have more opportunity to earn domestically and, so long as that doesn't all end up in unproductive real estate speculation - offset by deportation and stabilization of the adult population, the rising tide will float all boats. Generally, widespread prosperity will decrease the costs of law enforcement, prisons, and social programs.
"Progressives" will make a ton of noise to try and fan impatience. So will NGOs and foreign agitators.
I suppose the question is whether or not the average American will feel a negative or positive impact on their wallet during the Trump presidency. I have no doubt that the media will be hungry to blame him if there is a negative effect, even if it's only temporary. Thankfully Trump doesn't have to worry about re-election, but the Republican party will have to take responsibility for the results after he is gone.
Their nearly insurmountable challenge will be convincing the American public that it's playing out as expected and that things will get better after the course correction. Assuming that cranking up natural resource industries can't be done quickly enough to offset the issue. Mining and Oil & Gas can take years to inch through the courts. They're often frustrated by foreign funded legal teams that sue through non-government organization proxies.
Trump is going to have to bring the Army Corp of Engineers to heel. They're usually the ones resource companies have to call on to do environmental impact studies to push through court proceedings. It's just that the Hawaiian contingent of the Army Corp of Engineers started hijacking the process midway through Trump's first term and they're extremely biased toward giving activists in the Environmental Protection Agency the conclusion they're looking for.
The first years are going to be a slog even if the MAGA movement is sincere and things pan out.