Ignore the naysayers—Donald Trump’s economic plans will be good for the United States, Jordan, and the rest of the world.
Say what you like about the man himself, but Donald Trump is moving into the White House with some progressive economic plans that could kick start the world’s sputtering economic engine and create real jobs with much better growth rates. It looks like the new president is surrounding himself with people who believe neo-Keynesian economics can end the current economic stagnation. The world has finally come to realize that quantitative easing has saved many banks and financial institutions from vanishing, but it’s done very little to improve living standards or create employment.
Trump aims to spend $500 billion on infrastructure projects in the United States over the coming five years. This means an injection of cash into the real economy, which both households and corporations will directly receive through salaries and invoice settlements. This will have a direct impact on the economic multiplier, and therefore the economic growth of the country. It’s completely different from the practice of sinking billions of dollars into the financial sector to save or protect mismanaged banks from collapsing. This will save the neck of the management or the shareholders, but might not protect the savings of many households. Trump also wants to reduce taxes on both individuals and corporations. Household spending, company profits, and government tax revenues will all get a major boost as a result.
But what will the Trump presidency mean for Jordan’s economy? History shows that Republican administrations have always proved more beneficial to us than Democratic ones. I believe this will continue with Trump. He really understands Jordan’s importance to the stability of the region. Yes, the aid the Kingdom receives annually from the United States and other countries is designed to gain and maintain influence in the region. But nevertheless, Jordan is a rare example of a fair, open, and reform-minded democracy in the Arab world. Because of this, it looks like the United States will not only want to keep on supporting Jordan’s economy in the Trump era, but also might be interested in supporting even more development projects and investments in the country. Why? Well, Trump has declared on a few occasions his admiration of the ruling regime in Jordan. That alone is a strong enough indicator about his intentions towards to the Kingdom. It also means we can act as a trusted bridge maker between the United States and other countries.