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Thanks to the Supreme Court, however, Trump could do more. Under the Court's decision upholding the Obama administration's deferred immigration programs last week, Trump could unilaterally cut income taxes by 50 percent, accelerate infrastructure projects and cut red tape for starting new businesses. He could create a "recovery permit" that would give businesses the right to sidestep agency red tape, burdensome environmental regulations and onerous obstacles to opening new enterprises.
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According to Regents, presidents can now stop enforcing laws they dislike, hand out permits or benefits that run contrary to acts of Congress and prevent their successors from repealing their policies for several years. This gives Trump the opportunity to jump-start an economic recovery by declining to enforce the tax laws and economic regulations—shall we call it an economic deferred action program, EDAP? Just as Obama refused to enforce the immigration laws, Trump can decline to fully enforce the tax laws. While Obama offered humanitarian reasons for helping the DREAM-ers, Trump could argue that he is helping the poorest Americans, those hardest hit by the COVID economic collapse, and that he is accelerating an economic recovery from the pandemic shutdowns.
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Tax cuts would provide an enormous boost to the economy, far greater than the proposals kicking around Congress, such as temporarily suspending the payroll tax or extending unemployment insurance. Rather than keep the unemployed on public assistance, it could give them the incentive to work and keep more of their own pay. The prospect of reaping more of the benefits of their own risk-taking and entrepreneurship would encourage the middle class to start opening more small businesses. A unilateral tax cut favoring the poor would answer attacks on Trump that he does not care about minorities or the inner cities. Cutting taxes to zero for the poor could provide the most immediate, direct financial boost for minorities hit hardest by the pandemic.
Trump could go even farther to restart the economy. If he wants to boost infrastructure spending, he could issue permits allowing federally financed or regulated construction projects to go forward. He could waive all federal requirements for approval, such as the years required to go through environmental reviews, and suspend conditions that drive up the costs of construction projects (such as the Davis-Bacon Act, which require federal projects to pay high union wages). All it requires is for the president to defer action under environmental laws, permitting regulations and other excessive federal laws.
Critics would say that this economic deferred action program would violate the law, because the president would not be fulfilling his responsibility to "take care that the laws be faithfully executed." But, according to the Supreme Court's DACA opinion, presidents now can use their prosecutorial discretion to set the enforcement level for any federal law at zero.
If Trump wins re-election this November, the tax cuts and recovery permits could remain good for the next five years. Even if Joe Biden wins, the Court's decision means that it could well take at least two years for his administration to repeal the Trump program. In the meantime, the poorest Americans will have more money in their pockets to save and spend and more American businesses can get back to work faster.