Can Kamala Harris' Economic Plan Boost the US Economy?

Kamala Harris, the Democratic presidential candidate, recently claimed during a livestream event that her economic proposals would strengthen the US economy. However, a top business school has disputed her claims, saying that her plans would actually weaken the economy. According to the University of Pennsylvania's Penn Wharton Budget Model (PWBM), Harris' tax and spending proposals would increase primary deficits, limiting the government's ability to manage the economy. The model found that under Trump, GDP would fall by 0.4 percent in 2034 and by 2.1 percent in 30 years. In contrast, under Harris, GDP would fall by 1.3 percent in 2034 and by 4 percent in 30 years.

The PWBM report also found that lower and middle-income households would benefit from increased transfers and credits, while higher-income households would be worse off. Harris' opponents argue that her plan would lead to higher taxes and decreased economic growth, hurting small businesses and entrepreneurs. Not everyone agrees with the PWBM's assessment, however. Some experts argue that Harris' plan would help to reduce income inequality and increase access to healthcare and education. They also point out that the model's projections are based on assumptions that may not come true, and that the real-world impact of her policies would depend on a variety of factors.

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