Section 4: The Economy

Rebuttal to Section 4 of Project 2025: The Economy

Section 4 of Project 2025, titled The Economy, claims to present a plan for reviving economic growth, restoring fiscal discipline, and unleashing the full potential of the U.S. economy. However, a deeper look reveals that this section prioritizes the interests of the wealthy and corporations at the expense of working families, undermines essential labor protections, and relies on outdated, debunked economic theories. Instead of fostering broad-based economic growth and addressing the structural inequalities in the U.S. economy, Project 2025 promotes policies that would widen the gap between the rich and the poor, further weaken the social safety net, and exacerbate economic instability.

Trickle-Down Economics: A Failed Strategy

At the core of Project 2025’s economic vision is the persistent belief in trickle-down economics—the idea that tax cuts for the wealthy and deregulation will lead to investment, job creation, and economic growth that will eventually benefit everyone. However, decades of experience with this approach have proven it to be deeply flawed.

Tax cuts for corporations and the wealthy do not "trickle down" to the broader population. Instead, they tend to lead to wealth accumulation among the richest individuals and companies, while doing little to stimulate economic growth or benefit middle- and lower-income workers. Historically, periods of significant tax cuts for the wealthy, such as during the Reagan administration and the 2017 Tax Cuts and Jobs Act, have seen rising income inequality and stagnant wage growth for the vast majority of Americans.

Project 2025’s focus on reducing taxes for the wealthy would exacerbate this inequality. In a country where the wealth gap is already at historic levels, such policies would concentrate even more wealth in the hands of a few, while the majority of Americans see little to no improvement in their economic situation. The benefits of economic growth should be shared broadly, not hoarded by a small elite.

Deregulation: Putting Profits Over People

Another key component of Project 2025’s economic strategy is the aggressive rollback of federal regulations, particularly those related to labor protections, environmental standards, and consumer protections. While the project frames deregulation as a way to "free" businesses from burdensome red tape, the reality is that these regulations exist to protect workers, consumers, and the environment from exploitation and harm.

Deregulating industries, particularly in sectors such as finance, energy, and manufacturing, risks repeating the mistakes of the past. The 2008 financial crisis, for example, was largely the result of deregulation in the financial sector, which allowed banks to engage in risky, speculative practices that ultimately led to the collapse of the global economy. Similarly, rolling back environmental regulations could lead to increased pollution, public health crises, and long-term environmental damage, as corporations prioritize short-term profits over sustainable practices.

By pushing for widespread deregulation, Project 2025 essentially gives corporations a green light to cut corners, exploit workers, and pollute with impunity. This approach prioritizes corporate profits over the well-being of American citizens and the planet, ultimately putting both people and the economy at risk.

Undermining Labor Protections and Wages

One of the most concerning aspects of Project 2025’s economic proposals is its attack on labor protections and workers’ rights. The project advocates for reducing the power of unions, weakening workplace safety standards, and rolling back wage protections, all under the guise of boosting economic competitiveness.

Unions have historically played a crucial role in securing fair wages, safe working conditions, and benefits like health insurance and retirement plans for American workers. By weakening unions and eroding labor protections, Project 2025 would leave workers more vulnerable to exploitation, wage stagnation, and unsafe working environments. This is especially concerning at a time when income inequality is already rising, and many workers are struggling to make ends meet.

Additionally, the project’s push to eliminate or reduce the federal minimum wage is a direct assault on low-income workers. The current federal minimum wage has not kept pace with inflation or the rising cost of living, leaving millions of workers in poverty even while working full-time jobs. Rather than raising the minimum wage to a livable level, Project 2025 seeks to eliminate wage floors altogether, which would further depress wages and widen the gap between the wealthy and the working class.

Ignoring the Need for Economic Security and Social Support

A strong economy is not just about growth; it’s about ensuring that everyone has access to economic security and opportunity. This requires a robust social safety net, including unemployment benefits, affordable healthcare, and retirement security, as well as investments in education, infrastructure, and job training. Yet, Project 2025 advocates for slashing social programs and reducing government spending in these critical areas, despite the fact that these investments are essential for long-term economic prosperity.

For example, cutting back on unemployment benefits and welfare programs, as the project proposes, would leave millions of Americans without the support they need during times of economic hardship. This would lead to increased poverty, homelessness, and food insecurity, particularly among the most vulnerable populations. Instead of investing in programs that help people get back on their feet, Project 2025 takes a punitive approach that punishes those who are struggling the most.

Furthermore, Project 2025 overlooks the importance of investing in infrastructure, education, and innovation to drive future economic growth. Infrastructure projects, such as repairing roads, bridges, and public transportation systems, create jobs and improve the overall efficiency of the economy. Similarly, investing in education and job training is essential for preparing the workforce for the demands of a rapidly changing economy. By neglecting these critical investments, Project 2025 undermines the country’s long-term economic competitiveness.

Tax Cuts for the Wealthy: Worsening Inequality

A central tenet of Project 2025 is a push for more tax cuts, particularly for the wealthy and corporations. These tax cuts are justified on the grounds that they will spur economic growth and increase investment. However, this argument ignores the overwhelming evidence that such tax cuts primarily benefit the rich, while doing little to boost economic growth or create jobs for the average worker.

Tax cuts for the wealthy exacerbate inequality by allowing those at the top to accumulate even more wealth, while underfunding essential public services like healthcare, education, and infrastructure that benefit the broader population. When wealthy individuals and corporations receive massive tax breaks, the government loses revenue that could be used to invest in programs that promote economic mobility and security for all Americans.

Moreover, tax cuts for corporations do not necessarily translate into job creation or higher wages for workers. Many corporations use tax cuts to increase dividends for shareholders, buy back stock, or invest in automation rather than hiring new employees or raising wages. This leads to greater wealth concentration among shareholders and executives, while workers see little benefit.

A Failure to Address Climate Change and Emerging Economic Threats

Project 2025 also fails to address the economic threats posed by climate change, which is one of the most pressing issues of our time. Climate change is already causing significant economic disruption, from extreme weather events that damage infrastructure and displace communities to the long-term impacts on agriculture, water resources, and public health. By ignoring the need for sustainable economic policies and downplaying the importance of transitioning to renewable energy, Project 2025 places the economy at risk of future shocks and instability.

Investing in clean energy and green technologies is not only necessary for addressing the climate crisis—it also presents enormous economic opportunities. The global market for renewable energy, electric vehicles, and other green technologies is growing rapidly, and countries that invest in these sectors are likely to reap the economic rewards. Project 2025’s failure to prioritize sustainability leaves the U.S. lagging behind in the global race for clean energy leadership.

Conclusion: An Economy for the Few, Not the Many

Section 4 of Project 2025 presents a vision for the U.S. economy that is fundamentally out of touch with the needs of working Americans. Its reliance on trickle-down economics, deregulation, tax cuts for the wealthy, and the erosion of labor protections would exacerbate inequality, weaken the social safety net, and undermine long-term economic stability.