Confidence in the American economy is up, and has been since the election last November. But, the hard data to back that confidence up hasn’t been there just yet. So why do we feel so good about what remains a mediocre economy?
Vance Ginn is an economist with the Texas Public Policy Foundation and told KTRH it's all about what we think will happen with Donald Trump in the White House and a more business friendly approach.
“A lot of it has to do with expectations; what they are expecting for the future when you look at confidence levels that are near historic levels right now. The economic data is not telling that full picture yet,” Ginn explained.
So what's driving this confidence, especially from the business sector? Maybe it's the fact that business leaders have more in common with Trump than former President Obama?
“Some of that is there, when you look at the CEO’s. But whenever you look at political donations that are made, many of the CEO’s are giving money to Democrats, not just Republicans,” Ginn said.
But it is Republicans that are trying to bring about tax reform and health care change.
“Once we have those changes, I think you’ll see the economy expand to reflect the confidence levels that we have today,” Ginn stated.