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Governmental Feud Spills Onto Twitter, Huge Question Mark Over American tax Overhaul

By Patrick Higgins  |  12/10/2017 07:14
A few days prior to this feud, Corker had been influential in helping advance the President’s agenda. He supported a budget resolution, necessary to push forward tax legislation. Although Corker soon made it clear he would not support any legislation which increases the federal deficit.
 
In response, Trump launched a series of tweets late sunday night. He stated that Corker had, “begged” him for support in his re-election campaign. In response Corker has said he has no intention of seeking re-election, going on to say that the White house had been converted into an “Adult day-care centre”. He has also said that Trump is bent on setting the US down the path towards World War III.
 
The Republicans, who hold a slim majority in the Senate of 52-48, are desperate to pass meaningful packages of legislation. Their small margin of control means that just one or two votes can cost the Republicans legislative victories. For example, the repeal of Obamacare and general health care reform earlier this year crashed and burned when John McCain and a few other like-minded senators refused to vote Yes, and many Republicans fear that a similar situation will arise here with Senator Corker. Additionally, Senator Rand Paul has expressed reservations over the possibility that Trump's tax plan will raise some taxes for the middle class, and there are concerns that he will vote No as well.
 
Even though the Republicans have control of both Congress and nominally the White House for the first time since 2006. They may be at loss politically and socially. Trump’s habit for citising and lashing out at prominent Republicans has caused distraction, delays and fractures in the legislative process.
 
The constant changes made to the proposed tax overhaul - including the possible repeal of the federal income tax, and the shifting levels of tax reduction at state and local levels - have caused confusion as well. The Democrats say this fracturing is a result of an inept administration. They have been using the dis-unity as collateral in the run-up to the 2018 mid-term elections in an attempt to sway undecided voters.
 
In the middle of this, the dollar is holding steady, and despite losing 33,000 jobs last month, wage growth has risen 0.5% in September, equating to a rise of 2.9% so far this year. It is expected that the Fed will raise interest rates in December. This has kept the dollar buoyant and limited value oscillations to a minimum so far this week. .
 

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