The next step is to cut income tax for under $150k/yr earners. Tariffs raise prices by 20%, tax cuts let you keep 20% more earnings.
This would make the federal government dependent on tariff income, and, as the theory goes, diminish the funds the government has as American industry grows to avoid tariffs.
Probably not going to work out as it is only a first order effect view, but that is the idea they are chasing.
Trump has explicitly stated he wants to eliminate income taxes for people earning under $150k.
Ironically (but not really if you can clearly understand his platform, any why so many bernie bros became trumpets), Trump is doing a lot of ostensibly good things for the uneducated working class at the expense of American "elite" class. The autoworkers union president literally spoke yesterday at Trumps event cheering the tariffs. A union, cheering Trump.
The stock market is off a cliff, but how many factory workers actually have an appreciable amount of stocks? Poor middle America doesn't give a fuck about that. They give a fuck about having a place to go to work and make a good living.
Trump is doing what he was elected to do. Whether or not it is possible without making things much worse seems like a long shot, but his core base has a "I don't care if we destroy the system, the system sucks!" attitude, awfully similar to Bernie bros.
While you're not wrong, the two sides (Trump vs Sanders) do have entirely different approaches to reforming the system. The latter would (probably) like more control over production means in the hands of laborers, and sees progressive taxes as a way to support a social state. The former wants top-down control through laissez-faire, and sees reducing taxes as a way to get rid of the state.
Trump has explicitly stated a lot of things he has no intention of doing. Look at what is _actually_ in the bill the republicans are pushing through congress. Where is "no tax on tips, no tax on overtime, no income tax on earners under 150k". It's not there.
This would make the federal government dependent on tariff income, and, as the theory goes, diminish the funds the government has as American industry grows to avoid tariffs.
Probably not going to work out as it is only a first order effect view, but that is the idea they are chasing.