Why TrumpCare Won’t Work, Either – Ep. 233

  • It looks like the Republicans on Capitol Hill, with the blessing of Donald Trump, are trying to repeal one big healthcare program and replace it with another big government entitlement
  • They’re calling it TrumpCare
  • First they were calling it ObamaCare Lght, but now they’re embracing the term, “TrumpCare”
  • Whatever it is, it is not going to work
  • It’s just going to be another disaster wrapped up in a different package
  • But before I get into explaining this, I want to talk a little bit about the GDP numbers and the Atlanta Fed
  • In my last podcast, I mentioned that even though the Fed was getting closer to the point at which it was going to raise interest rates again
  • Even though it was talking tough on raising rates, the GDP estimates were collapsing
  • Well, they collapsed again today
  • Now the same Atlanta Fed that was at 1.8% for Q1 GDP is now at 1.3% as of today
  • When we began the month of February –
  • February 1st – they were looking for 3.4% GDP for the first quarter
  • If you go back and listen to my podcast, at the time I recorded it
  • I said, they’re kidding. They’ve got to be crazy – there’s no way we’re going to get 3.4%
  • They’re going to have to come down, and that’s all they’ve done
  • And now we’re at 1.3% and falling
  • Now maybe part of that is because we got the worst trade deficit today in 5 years
  • Although, I think the numbers were highly anticipated so I don’t know why that would have come as a surprise
  • And we got Consumer Credit for December and it was a huge drop in the increase of credit card debt
  • Meaning that consumers took on a lot less credit card debt than Wall Street expected
  • Now that’s a good thing
  • I don’t like it when Americans go deeper into debt to buy stuff
  • You’ve got a bubble economy that’s 7%, people buying stuff they can’t afford
  • And when they finally stop going deeper into debt you’ve got a problem
  • If that’s where you’re getting your GDP

Peter Schiff is an economist, financial broker/dealer, author, frequent guest on national news, and host of the Peter Schiff Show Podcast.



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