So Congress hasn't voted on the proposed budget yet. The raw numbers is the Government is expected to spend 7 Trillion in the next year with 5.2 Trillion in revenue. So a 1.7 trillion budget deficit. This is the number the the Tariffs and the Budget cuts need to make up.
Only problem is the IRS is expecting the collected revenue to be down 10% due to cut backs. I also expect lower revenue if layoffs continue as they are. My own company did a 10% RIF globally. But i wont bother calculating the layoffs in the rest. So now Revenue is 4.7 Trillion(47 how fitting) now pushing the deficit to 2.3 Trillion. Oh shit that hill just got a lot bigger boys.
So lets talk these fucking tariffs. They have been placed on and off again over the past week. So since the Tariff was put in place up until it was pause was 10.35 Trillion. Double the initial estimates expected revenue. The pause was put in place and the market recovered on 3.17 Trillion. Net loss of about 7.2 Trillion in value. So expect a lot of capital gains tax losses reducing some more income in revenue from taxes.
Now for the remaining Tariff on China. Its big 125% it will be felt some business will 100% go out of business. It might bring in 500Billion in revenue if imports stay the same, which they wont. So that makes up for that missing IRS revenue still 1.7 Trillion in the whole that is only getting deeper we just don't have the numbers yet of how deep.
I expect that White House insiders are trading these very predictable market movements. But I don't expect these people to hold themselves accountable for their blatant corruption.
The Trick is Corruption
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