Economy Could Explode Soon

Added: 2026-06-02

[00:00:00]Trump's team and a growing number of economists argue that if you cut income tax to zero, the economy could explode.

[00:00:07]Companies would move to the US for the tax break, jobs would come back, and GDP could grow at 4% or 5% of 2%. Plus, if you cut government spending by 30% to 50%, suddenly the gap starts to close.

[00:00:20]Let's put this into perspective. Before 1930, before the 16th Amendment created the income tax, the US government was funded almost entirely by tariffs and excise taxes. And what happened during that time? The Gilded Age, the Industrial Revolution. America became a manufacturing superpower of the world with zero income taxes. But here's the contrast. Back then, the government was much smaller. Today, Social Security, Medicare, and health programs make up nearly 60% of the budget.