Trump Administration Pivots to Tax Plan
April 10, 2017
The Trump administration considers repealing former President Obama’s 2015 ozone pollution rule; President Trump is starting over with his tax plan; U.S. hiring slowed but broader trends suggest slack in the labor market is disappearing, leaving the Federal Reserve on track to keep raising interest rates.
- The Trump administration told an appeals court late Friday that it is considering whether it wants to repeal former President Obama’s 2015 ozone pollution rule. Justice Department attorneys are asking the Court of Appeals for the District of Columbia to delay oral arguments scheduled for later this month in a lawsuit challenging the Obama rule. Under the Obama administration, attorneys were defending the pollution rule against a coalition of business groups and conservative states, led by the U.S. Chamber of Commerce. The Trump administration has not stated where it stands on the rule, although it is strongly opposed by Republicans, the business community and fossil fuel interests, since states would likely have to crack down on fossil fuels to meet the stricter air quality standards. [The Hill]
- President Trump is starting over with his tax plan and the new proposal will likely not come before Treasury Secretary Steven Mnuchin’s August goal. Trump wants to cut taxes to help rural and industrialized parts of the country where his supporters live, administration officials said. However, Democrats say they oppose net tax cuts and will resist proposals that mostly benefit high-income households. [The Hill, WSJ]
Economic Indicators & News
- U.S. hiring slowed but broader trends suggest slack in the labor market is disappearing, leaving the Federal Reserve on track to keep raising interest rates and workers with prospects of better paydays. Nonfarm payrolls rose by 98,000 in March from the previous month, however, the unemployment rate dropped two-tenths of a percentage point to 4.5%, the lowest level since May 2007. Drops in the jobless rate occurred even as more people entered the labor force, meaning there was more than enough hiring to create new jobs. [WSJ]