In the latest edition of the ‘POLITICO Money’ podcast, Council of Economic Advisers Chair Kevin Hassett discusses tax policy, drawing Americans back into the workforce and his ‘Dow 36,000’ prediction.
President Donald Trump’s top economist has an unusual idea for dealing with the problem of long-term unemployment: Just have the government hire people.
.. Kevin Hassett, the conservative chairman of the White House Council of Economic Advisers, believes some Americans are so disconnected from the workforce that the best idea to get them working again could be a federal jobs program that would ultimately lead to private-sector employment.
.. To Hassett, long-term unemployment often leads to family breakdown and descent into addiction and other maladies. “People who have been unemployed for more than a year very often don’t ever reconnect to the labor force,” he said. “And very often they fall into sort of downward spirals of personal despair where they end up abusing substances and have a higher risk of divorce. Some of the literature in this area is just absolutely disturbing.”.. Hassett remains convinced that the tax cut bill now emerging on Capitol Hill that would slice the top corporate rate from 35 percent to 20 percent will in fact add at least $4,000 in increased wages per household over the next several years.. Hassett called the idea “iron-clad” based on studies of other countries cutting their corporate rate. And he said he believes the increase could be even greater... He argues that a lower corporate rate and more immediate expensing of capital investments will lead to greater productivity among workers and thus higher wages without big inflationary pressure... “If you have a supply-side stimulus precisely now, we can get capital deepening back to where it used to be, then you could add a percent to GDP growth,” he said. “And that will increase labor productivity and increase wages but not in a way that’s inflationary.”.. Hassett, an affable economist with friends on both side of the partisan aisle, also spoke about his often-lampooned 1999 book with James Glassman, “Dow 36,000,” that predicted stocks would hit that mark by 2004. Instead, the dot-com bubble burst and stocks tanked.Hassett described the title of the book as a bit of a “youthful indiscretion” that was also somewhat unfairly maligned. “The point was that people who buy and hold stocks for the long run tend to do well, but that stocks go up and down a lot and it’s scary.”
Why most evangelicals don’t condemn Trump
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For such critics, the only possible explanation for evangelicals’ continuing faith in Trump is some combination of ignorance and hypocrisy.
.. These voters — and almost all of them voted — see Trump’s flaws but perceive him as a fellow sinner willing to fight the forces of the establishment on their behalf... The barrage of negative press hardly rattled him or most of his colleagues, who see the mainstream media as anything but friendly to their opinions and their faith... “He has to fight all of them,” said the preacher, referring to the Democrats and the media.Another minister told me he appreciates that Trump has no hesitation taking on “the reprobate left” that considers the president “an enemy of their established power system.”.. Part of the decision by many evangelicals to support Trump for president was attributable to long-standing differences with liberal candidates over social issues. Evangelicals tend to share conservative positions on abortion, gun rights, border security and the fight against “radical Islamic terrorism,” as they usually make sure to phrase it. But more than anything, Trump’s specific pledges to the religious right got their attention.
.. So far, they think Trump has kept those promises. He has followed up with invitations to the White House, sought input on court appointments, stood firmly with Israel and signed an executive order expanding religious freedom in regard to political speech.
.. when Trump refuses to fully adopt the conclusion that climate change is due to man-made influences, he demonstrates an affinity with evangelical Christians who do not blindly accept every scientific theory... They also know they are considered by many to be superstitious or ignorant for adhering to their beliefs... Probably half the people in churches across the country defined as “evangelicals” were converted from lives that were even more unprincipled than the life Trump has led. Some experienced divorces, others used foul language, and many were addicted to drugs or alcohol... In most cases, no immediate miracle happened with regard to their behavior at the moment of their confessions of faith or their emergence from the baptismal waters. The only miracle they were promised was the application of the grace of Jesus Christ, which, under New Testament doctrine, washed away their sins.
This is why baby boomers are divorcing at a stunning rate
“What’s pushing gray divorce is people are living longer and they feel more entitled to living fully. They’ve contributed to raising children, they want an emotional journey, it’s their time now,” says Lili Vasileff, a certified financial planner and president of Divorce and Money Matters, which specializes in divorce financial planning. “They may have (decades) ahead and don’t want to be unhappy anymore.”
How Mormon Polygamy In The 19th Century Fueled Women’s Activism
Many states still followed the common law Doctrine of Coverture, which declared a woman civilly dead once she married. It’s not just…
GROSS: So she had no legal rights over her money, her property. She had no ownership over them.
ULRICH: Her money, her – her money, her property – she couldn’t sue or take a case to court except under a father or a husband – so dependency. The right to divorce – although divorce laws were greatly liberalized in the 19th century in most parts of the country, it was definitely – you had to prove either adultery – it took a while for physical abuse to be grounds for divorce.
.. Utah had no fault divorce from the beginning. It was very, very open and pretty common. And particularly, I think that made plural marriage workable. If you didn’t like it, you could leave.
.. It’s a very different world than we imagine. And so instead of comparing plural marriage in the 19th century to our notions of women’s rights today, we need to compare plural marriage, monogamy and then other institutions that really distressed people in the 19th century, like prostitution for example, different kinds of bigamous relationships.
So Mormons would argue, many American men have multiple sexual partners. They’re just not responsible. They don’t acknowledge them. They don’t give them dignity. They don’t legitimate their children. So polygamy is a solution to the horrendous licentiousness of other Americans.
.. So one of the things you’re famous for is a phrase that you originated in – I think it was like an academic paper in the 1970s – and the phrase has since shown up on like T-shirts and bumper stickers. I know you’re asked about this all the time, but the phrase is well-behaved women seldom make history.
Now, knowing your work, knowing that you write about, quote, “ordinary women” who kept journals, and you’re trying to understand what the lives of, like, ordinary women were in their time, I interpret that quote as meaning if you’re just looking at history, you won’t understand the lives of ordinary women because ordinary women seldom make history. But I suspect that that has been – that quote has been interpreted as ordinary women seldom make history so women don’t be ordinary, do something special so you can make history. Don’t be ordinary.
.. Yes. It’s been turned upside-down. On the other hand, you know, I was an ordinary girl from Idaho who got involved in the feminist movement and I’ve been on a collective bargaining team, and my former university, you know – I’ve done a lot of not very well-behaved things. And so I guess I embrace both sides. I embrace the contradiction of that crazy accidental slogan.