With Donald Trump naming Ohio Sen. JD Vance as his vice presidential pick, all eyes are on what this means for the middle class. If Trump is reelected, Vance’s policies could greatly affect American jobs and the economy. Experts weighed in, making some predictions based on his memoir “Hillbilly Elegy,” speeches, senate records, and interviews.
Don't Miss:
- Can you guess how many Americans successfully retire with $1,000,000 saved? The percentage may shock you.
- This billion-dollar fund has invested in the next big real estate boom, here's how you can join for $10.
- Miami is expected to take New York's place as the U.S. Financial Capital. Here's how you can invest in the city before that happens.
One public policy and government relations expert, Zach Friend, expressed concerns over the potential effect: “A Trump-Vance administration would likely continue policies that favor the wealthiest, leaving middle-class Americans to shoulder the burden.” He added that Trump, just like Vance, has been pushing out reforms and cuts that can affect the middle class, with rising health care costs, inflation through new import policies, and tax measures that may also drive up deficits while slashing programs of importance to low – and middle-income workers.
See Also: How do billionaires pay less in income tax than you? Tax deferring is their number one strategy.
Major fears include the tax policies that may come with a Trump-Vance victory. According to Michael Collins, CFA and CEO of WinCap Financial, Trump’s 2017 tax cuts were primarily for the wealthy, which a new administration may extend. “Both JD Vance and Donald Trump have been outspoken supporters of tax cuts for the wealthy and large corporations,” Collins said. “The Tax Cuts and Jobs Act of 2017 stands out as one clear case, in which 23.7 percent went to the top one percent of high-earning households, while just 13.8 percent went to the bottom 60 percent of households.”
Collins warned that if these taxation policies continued, government revenues would severely drop, leading to cuts in critical social programs that many middle-class Americans depend on. “If these cuts persist, it could mean fewer resources for programs that support education, health care, and social services,” he added.
Union workers – another linchpin of the middle class – could also be in trouble under a Trump-Vance administration. Corey Pollard, a workers’ compensation attorney and a staunch union supporter, said he fears Vance’s economic policies will undermine union members’ job security. “Policies that promote deregulation and corporate tax cuts could result in job losses in industries where unions are strong, like manufacturing and transportation,” Pollard explained.
Furthermore, Pollard said Vance could weaken labor unions if he supports policies that would lower collective bargaining power. “Without strong unions, workers might not have the muscle needed to negotiate fair wages and benefits, which could ultimately lead to the erosion of job security and financial stability for many middle-class families,” he said.
Trending: Elon Musk and Jeff Bezos are bullish on one city that could dethrone New York and become the new financial capital of the US. Investing in its booming real estate market has never been more accessible.
Michael Collins states that health care is another area where a Trump-Vance ticket could have the most significant impact. “JD Vance has come out in favor of repealing the Affordable Care Act, and although Trump couldn’t fully repeal the ACA the first time he was in office, he did chip away at it pretty substantially,” Collins said. If the Trump-Vance administration’s priorities remain so aligned, millions of middle-class Americans could have subpar health coverage.
Corey Pollard mirrored these concerns, citing risks to employer-sponsored health plans. “Changes in health care policy could lead to increased out-of-pocket costs for workers, putting more pressure on family budgets and jeopardizing household finances in general,” he said.
Read Next:
- A billion-dollar investment strategy with minimums as low as $10 — you can become part of the next big real estate boom today.
- These five entrepreneurs are worth $223 billion – they all believe in one platform that offers a 7-9% target yield with monthly dividends
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Comments
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
