Oh, we have no idea yet how big and consequential the synergy between all of President Trump’s economic policies are toward an almost unfathomable MAGAnomic result; but we’ll find out really soon, BIGLY.

The international community is just now beginning to recognize how intensely sequential the domestic MAGAnomic tax policy is when combined with the international America-First trade policy therein.

2018 will be the year when every international trade partner reassess their best financial interests; and with the tax outline codified into law, POTUS Trump, Secretary Ross, Secretary Mnuchin and U.S. Trade Representative Lighthizer are about to initiate the biggest multinational trade shift in the history of international economics.

Yes folks, I’m actually talking about that phase when we discover we are living within the orbit of: “almost too much winning”.   This is where we begin to recognize that 5%, 6% and even 7% GDP growth is easily attainable. Here’s how it works.

Previously the larger multinational corporate community used the tax rates of lesser industrialized nations as a strategic gateway to offset costs held within the largest market in the world, the United States.  With the U.S. changing the entire dynamic behind the tax rates, the same companies now enter a phase of recalculating the production costs.

In direct realignment with the tax rates, the Trump policy cuts the costs further by eliminating regulation and unleashing energy development, which again lowers costs.  Energy costs third in line of importance behind labor and raw materials in most manufacturing cost considerations.

The combination of manufacturing automation, decreased U.S. regulations, and now lower tax rate provisions entirely changes the cost dynamic.  Add in the transportation costs inherent with bringing foreign products to the U.S. market and, well, you can quickly see how the multidimensional strategy makes the best financial sense to manufacturer right here in the U.S.A.

As a noted left-leaning Canadian outlet notes:

(Via National Post) […] “Foreign companies that operate in North America are now going to look at, ‘Do I invest in Canada, with a small population, small market, to serve the North American market, or do I go to the United States?”‘ said Mintz, of the University of Calgary.

“When they look at Canada they now see … similar tax rates and similar burdens (to the U.S.),” he added. “Then they look at regulations in Canada, which are increasing as the U.S. is reducing theirs.”

The U.S. trade czar leading the NAFTA negotiations, Robert Lighthizer, toasted the bill’s adoption, calling it a monumental win that will make American business more competitive, and reduce the U.S. trade deficit. (read more)

There is no incentive for the U.S. to remain inside NAFTA.  We are the market everyone want’s and needs access to.  We are the consumer.  President Trump has signaled his intention to leverage access to our markets as part of the larger trade initiatives.  USTR Robert Lighthizer is now holding a much stronger hand than just a few months ago thanks to the Tax bill.

Additionally, even European nations are beginning to realize their manufacturing access to U.S. markets will now be much weaker.  Cue Germany:

Handelsblatt – […] “The tax competition will have a new dimension,” said Christoph Spengel, chairman of the corporate tax department at the University of Mannheim. Mr. Spengel, who is also a research associate at the Center for European Economic Research, and a group of tax experts at the university have done a detailed comparison of the two countries’ tax systems and published a report under the heading, “Germany loses out in US tax reform.”

Clemens Fuest, who heads the Ifo economic think tank, also said he believed German business would suffer. “Investments and jobs will migrate to the US,” he said. (read more)

German companies that already do the manufacturing inside the U.S. will not be impacted.  However, German companies that rely on exports into the U.S. are now in a very tenuous position.  Their best hand becomes actually moving operations into the U.S., hiring U.S. workers, and producing the end product right here.

See how that works.

Now, sticking with the Canadian and German examples cited, it becomes transparently obvious how GDP growth rates explode.  Remember, the U.S. GDP is the combined value of everything produced and serviced in the U.S. “minus” the value of our imports.

If we drop $1 billion in imports and instead manufacture the $1 billion in products here in the U.S. the GDP growth rate is measured in terms of $2 billion in growth.  The GDP growth rate as a percentage increases two-fold.

This is why five, six, and even higher percentage increases in GDP growth are possible.  It is our MARKET size that dominates the leverage in the equation.

In addition to leveraging economic power for national security, Treasury Secretary Mnuchin and Commerce Secretary Ross are working on long term economic benefits: Trade renegotiation, exports, and investment along with capital/credit availability. Simultaneously EPA Administrator Scott Pruitt is working on short-term economic benefits: energy development, deregulation, etc.

Lowering energy costs has an exponential benefit to the overall economy. Not only does it drive down the cost of domestic highly consumable products, but it also binds the building blocks of the manufacturing and production sector. Lower energy costs offset higher wages on products manufactured for export and helps keep the U.S. competitive.

President Trump is uniquely qualified as a successful businessman (non-politician) to have developed actual life-skills on Main Street that help him see the bigger value in policy shifts. Politicians usually speak in esoteric terms about economic “costs”; but President Trump has direct experience in how shifts in costs can directly contribute to the Main Street economy.

Domestic manufacturing and industry sectors have three top-tier costs as they transfer to Main Street: 1) Raw materials (or finished goods depending on sector); 2) Labor costs; and 3) energy costs. If you lower any of the three drivers you lower the cost of business operations.

President Trump is actually the only President in modern history who is working to lower both material costs and energy costs simultaneously. In doing so, the short term benefit to the middle-class worker is a lower consumable good prices and subsequently a higher level of disposable income.

In essence by lowering material and energy costs the internal economic action actually gives a raise to the middle-class faster than waiting for full economic expansion/growth to drive wage rates higher.

See how that works?

In the longer term, as the economy expands, there will be a natural pressure on wage rates to rise – as competition for labor drives up labor value.

• Under President Trump, nearly 1.7 million new jobs have been created.
  • 159,000 jobs have been created in the manufacturing industry.
  • 57,000 jobs have been created in the mining and logging industries.

• The unemployment rate has fallen to 4.1 percent, the lowest in nearly 17 years.
  • Thirteen States have reached record low unemployment rates.

• Gross Domestic Product (GDP) in the United States has grown by more than 3 percent in the last two quarters.
  • The GDP growth rate was 3.3 percent in the third quarter of this year.
  • The GDP growth rate was 3.1 percent in the second quarter of this year.
• Productivity in the United States economy grew to 3 percent last quarter.

• Americans’ confidence in the economy has soared to record highs under President Trump.
  • The Conference Board Consumer Confidence Index reached a 17-year high in November.
  • The National Association of Manufacturers’ Outlook Index had the highest annual average it has ever recorded.

• The Dow Jones Industrial Average has hit record highs 70 times in 2017—the most ever recorded in one year.
  • For the first time in its history, the Dow closed higher than 24,000 points.
  • Since President Trump was elected, more than $5 trillion in wealth has been added to the United States economy.

HARD AT WORK: The Department of Labor has implemented pro-growth programs, rolled back overreaching regulations, and taken action to support American workers.

• The Department of Labor has convened a Task Force on Expanding Apprenticeships, which will work to create more opportunities for American job seekers and job creators.
  • The 20-person task force brings together leaders from business, labor unions, educational institutions, and trade groups to advise the Administration on how to expand the number and breadth of apprenticeships.

• Following President Trump’s Executive Orders on regulatory reform, the Department of Labor is working to identify regulations that place an undue burden on employers with minimal impact on worker protections.

• The Department of Labor is actively involved in the process of renegotiating and improving the North Atlantic Free Trade Agreement.

• Secretary of Labor Alexander Acosta has directed the Department to aggressively confront visa fraud and abuse.

Go ahead and mark the date on the calendar, you’ll remember this day. Earlier today the United Nations voted in favor of a nonbinding resolution declaring President Donald Trump’s recognition of Jerusalem as Israel’s capital “null and void.”

U.N. Ambassador Nikki Haley delivered remarks noting the likely consequence prior to the vote taking place.  [Full transcript and video below] Believe me, this will not end well for the U.N:

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The entire enterprise of the U.N. is supported by slightly less than half of all Americans. The modern irrelevance of (and general antagonism within) the U.N. has been a less visible but decades-long discussion throughout most political circles.

It is doubtful the U.N. realizes the consequential difference of this moment with President Donald Trump at the helm of commonsense U.S. foreign policy.

In our lifetime few figures represent the level of righteous American swagger as seen carried by President Donald Trump. He is not beholden to traditional diplomatic circular triple-speak; and he carries the desire to eliminate anything he views as against American interests. This is a critical point most often overlooked.

President Trump does not want to correct policy that is against U.S. interests. President Trump desires to DESTROY policy that is against U.S. interests. There is a profound difference. Put your national interests on the other side of the “U.S. best interest” equation; and there is no limit to the pain President Trump is willing to inflict upon your decision. FACT.

From President Trump’s stewardship viewpoint: America will give respect and America deserves respect.

Violate that simple principle, without permission from his administration to do so, and POTUS Trump will methodically, strategically, heck, often personally, crush that opponent with severe and extreme economic prejudice.

[Transcript] Thank you, Mr. President.

To its shame, the United Nations has long been a hostile place for the state of Israel. Both the current and the previous Secretary-Generals have objected to the UN’s disproportionate focus on Israel. It’s a wrong that undermines the credibility of this institution, and that in turn is harmful for the entire world.

I’ve often wondered why, in the face of such hostility, Israel has chosen to remain a member of this body. And then I remember that Israel has chosen to remain in this institution because it’s important to stand up for yourself. Israel must stand up for its own survival as a nation; but it also stands up for the ideals of freedom and human dignity that the United Nations is supposed to be about.

Standing here today, being forced to defend sovereignty and the integrity of my country – the United States of America – many of the same thoughts have come to mind. The United States is by far the single largest contributor to the United Nations and its agencies. We do this, in part, in order to advance our values and our interests. When that happens, our participation in the UN produces great good for the world. Together we feed, clothe, and educate desperate people. We nurture and sustain fragile peace in conflict areas throughout the world. And we hold outlaw regimes accountable. We do this because it represents who we are. It is our American way.

But we’ll be honest with you. When we make generous contributions to the UN, we also have a legitimate expectation that our good will is recognized and respected. When a nation is singled out for attack in this organization, that nation is disrespected. What’s more, that nation is asked to pay for the “privilege” of being disrespected.

In the case of the United States, we are asked to pay more than anyone else for that dubious privilege. Unlike in some UN member countries, the United States government is answerable to its people. As such, we have an obligation to acknowledge when our political and financial capital is being poorly spent.

We have an obligation to demand more for our investment. And if our investment fails, we have an obligation to spend our resources in more productive ways. Those are the thoughts that come to mind when we consider the resolution before us today.

The arguments about the President’s decision to move the American embassy to Jerusalem have already been made. They are by now well known. The decision was in accordance to U.S. law dating back to 1995, and it’s position has been repeatedly endorsed by the American people ever since. The decision does not prejudge any final status issues, including Jerusalem’s boundaries. The decision does not preclude a two-state solution, if the parties agree to that. The decision does nothing to harm peace efforts. Rather, the President’s decision reflects the will of the American people and our right as a nation to choose the location of our embassy. There is no need to describe it further.

Instead, there is a larger point to make. The United States will remember this day in which it was singled out for attack in the General Assembly for the very act of exercising our right as a sovereign nation. We will remember it when we are called upon to once again make the world’s largest contribution to the United Nations. And we will remember it when so many countries come calling on us, as they so often do, to pay even more and to use our influence for their benefit.

America will put our embassy in Jerusalem. That is what the American people want us to do, and it is the right thing to do. No vote in the United Nations will make any difference on that.

But this vote will make a difference on how Americans look at the UN and on how we look at countries who disrespect us in the UN. And this vote will be remembered.

Thank you.

(transcript link)