Here are the three scenarios, and the results:
- A GOP SWEEP: Trump and the Republicans spike the football by cutting taxes for the wealthy, shredding the safety net, and repealing Obamacare, even in a pandemic. This is exactly the wrong approach for the times, and the recovery slows to a crawl, even with a vaccine. They don’t care. It’s the fruits of victory, you know.
- A DEMOCRATIC SWEEP: The Democrats push through an expansionary budget that includes massive investments in green infrastructure and public health. The recovery accelerates.
- MIXED GOVERNMENT: There is no meaningful legislation of any kind. The lights are kept on through agreements that reflect the spending priorities of both parties. As such, the budget is mildly expansionary, and the recovery continues at a reasonable pace.