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Your guide for what American choices 2024 means for Washington and the world
The writer is the director of the Study of Economic Policy at the US Institute of Enterprise
Wall Street trust in American technological leadership is shaken this week by discovering the latest artificial intelligence model Deepseek. The Chinese start seemed to be out of nowhere.
This episode should highlight the wisdom of President Donald Trump AI. His Executive command In technology, it is wonderful: “The policy of the United States is to maintain and improve US global AI dominance.” He recalled rules Administration of Biden, who “improved and managed the development and use of AI” in accordance with several goals, including “improvement of capital” and ensuring that the AI does not “exacerbate the quality of work” or cause “harmful disorders in the work”.
I am glad to have the president who prioritize the importance of AI for economic prosperity and national security. And this is not the only good move of Trump among Blitz activity from his inauguration.
His efforts yes deregulated The energy sector and expansion of geothermal and nuclear energy production are similar to praise. They will increase the reliability of electricity supply and reduce energy costs for households and businesses. The new president is already reverse Biden’s stupid break on new export permits for liquefied natural gas.
In the meantime, the end of the reign of Line Khan as head of the National Competition Protection Agency has breathed in a new life in the business community.
It is all the liberation of animal spirits – not only among top bankers and main executives. The feeling increases and in the main street. In December, National Federation of Survey on Small Affairs of Independent Companies taken The biggest monthly increase since 1983. In a net percentage of companies that expect the economy to improve. This positive mood could be turned into spread, innovation and investment, accelerating productivity growth and wage increase.
Otherwise, the new Department for the Efficiency of the Government should clap to attempt to increase the efficiency of the Federal Government. Ronald Reagan noted that “the government office is the closest eternal life we will ever see on this earth.” This was made in 1964. Since then, the consumption of the Federal Government has increased by more than 30 percent as the share of annual GDP. If Doge is able to collaborate with Congress to prove that Reagan is wrong, even better.
Public sector employees hold positions of public trust and some of Trump’s efforts To keep state workers up to higher success standards. For example, it should be expected that the vast majority of them will go to work in their offices five days a week, where they will be most productive and capable of achieving the biggest refund on the dollars of taxpayers.
Trump also has a different approach to the tax. Biden’s administration wanted to sign up for an international income tax, known as a pillar two to prevent other countries from reducing business tax. Trump wants to further reduce profit taxes in the US. I’m with him.
The president was also right stop Payment of $ 300 billion in green energy financing. It would be better to use these funds to finance the reduction of taxes on business such as complete cost, which would increase Investment, productivity and wages.
Trump has been president for less than two weeks, and the ultimate success or failure of all these initiatives will depend on their specific design, implementation and execution. This is especially true of immigration. Deportation, say, 200,000 illegal immigrants this year who have committed serious crimes would be good for a nation. But an attempt to deport, say, 2mn illegal immigrants in 2025 would harm workers, companies and communities.
Similarly, if done properly, efforts to return the scheme of variety, capital and inclusion could increase focus on merit and reduce racial discrimination in the labor market. But they could also aggravate discrimination if it is bad.
There is a lot of this about a new administration to be criticized, to be safe. For example, Trump’s decision to pardon the abuser on January 6th was awful. On the economy, among other examples, its threats to increase tariffs to US allies could reduce business investments and weaken international alliances. And will probably continue refuse Reduce Medicare and social security consumption, which triggers an unsustainable fiscal trajectory of the nation.
But the president’s critics will not do any services themselves because they are not open to the good things that his administration will do – and she has already done so.
