Even the biggest naysayers have to give credit where it’s due.
The New York Times on Monday published with a relatively positive appraisal of President Trump’s influence on the American economy after nearly a year in office.
The article was titled “The Trump Effect: Business, Anticipating Less Regulation, Loosens Purse Strings.” The authors described the Trump administration’s policies as stimulating “a wave of optimism” that has “swept over American business leaders.”
According to the Times piece, the Trump-provoked optimism “is beginning to translate into the sort of investment in new plants, equipment and factory upgrades that bolsters economic growth, spurs job creation — and may finally raise wages significantly.”
The article gave particular attention to the president’s focus on cutting regulations, and quoted home builder Granger MacDonald as saying “It’s an overall sense that you’re not going to face any new regulatory fights. We’re not spending more, which is the main thing. We’re not seeing any savings, but we’re not seeing any increases.”
The Times minimized the tangible economic benefits of slashing regulations.
“There is little historical evidence tying regulation levels to growth,” the article read. “Regulatory proponents say, in fact, that those rules can have positive economic effects in the long run, saving companies from violations that could cost them both financially and reputationally.”
The authors also suggested that reducing regulations would have unintended environmental consequences.
“Some businesses will essentially be able to get away with shortcuts that they could not have under a continuation of Obama-era policies. The coal industry, for instance, will not have to worry about a regulation, overturned by Congress and Mr. Trump, that would have protected streams from mining runoff.”
For the Times, the economic growth seen under President Trump is the result investor psychology: businesses are spending more because they believe they will have to divert less money to complying with government regulations.
“The evidence is weak that regulation actually reduces economic activity or that deregulation stimulates it. But business executives are largely convinced that the cost of complying with rules diverts money that could be invested elsewhere.
“And economists see a plausible connection between Mr. Trump’s determination to prune the federal rule book and the willingness of businesses to crank open their vaults. Measures of business confidence have climbed to record heights during Mr. Trump’s first year.”
Unemployment has fallen to a 17-year-low under President Trump.
The president has frequently criticized the New York Times, accusing the paper of unfair coverage.
On Tuesday, he said the Times has a “last chance” to “fulfill the vision of its founder” under the leadership of its new publisher.
The world-famous newspaper has experienced a major decline in circulation over the last decade.
Is the Times accepting the president’s olive branch?