Readers Write: Trump, an economic genius, or is he?

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I question Trump’s claim of his economic success. Let’s compare it to Obama’s economic success. Such comparison reflects the difference in investment values and the rate of return for investors, especially those with retirement plans, many of whom are Trump supporters.

 

The information shown below details the Dow Jones Average at various dates based on facts.

1-The first date of January 20, 2009, is the first day of President Obama’s first term of the presidency.

2-The second date of January 20, 2017, is in effect, the last day of President Obama’s second term and the first day of President Trump’s presidency.

3-The third date of June 23, 2020, represents the near-current value of the Dow Jones average during President’s term of the presidency.

4-The fourth date of February 12, 2020, represents the record-high-level reached by the Dow Jones average during President Trump’s term of the presidency.

                                        Dow Jones                           Percentage

Date                                   Average        Increase         Increase        

1-January 20, 2009            7,949.09             —                 —

2-January 20, 2017          19,732.40       11,783.31          148%

3-June 23, 2020               26,024.96         6,292.56            32% (Compared to Obama’s last day in office)

4-February 12, 2020        29,551.42         9,819.02             50% (Compared to Obama’s last day in office)                                                                 

Based on the Dow Jones Average, an investment over the term of Obama’s presidency increased by 148%, or 1 1/2 times the value of the original investment.

Based on the Dow Jones Average, an investment from Trump’s first day in office up to the day the highest Dow Jones Average was ever recorded (February 20, 2020) showed an increase of 50%..

Based on the Dow Jones Average, an investment during Trump’s presidency through June 23, 2020 increased by 32%.

Assume your portfolio (retirement or other) began at $100,000, comparing investment value appreciation over their various terms shows the value of what your investment would be is as follows:

At the record high level 

Obama——-$248,000

Trump——–$150,000

Difference—$ 98,000

Even at the record high level reached by the Dow Jones average during President Trump’s term of the presidency, This shows that the investment value increased substantially more — $98,000 — during Obama’s term in office.

However, let’s get more realistic and do the comparison based on the most current date.

Obama——$248,000

Trump——- $132,000

Difference—$116,000

This shows that the investment value increased substantially more by $116,000 during Obama’s term in office.

A comparison between the percentage increase of the investment during President Obama’s term of 148 percent compares quite favorably to the 32 percent increase during President Trump’s term. The percentage increase of investment value during Obama’s term was 4 5/8 times greater than during Trump’s term. Even when the  Dow Jones Average reached the record high level, Obama’s return exceeded Trump’s return threefold, but that’s long gone.

Since Obama’s rate of return was 4 5/8 times greater than Trump’s rate of return, putting it into perspective from a sports point of view would reflect the comparison as follows:

                                                                   Trump               Obama

Basketball – Average points per game——    6 points            28 points

Baseball – Pitcher Wins ———————— 5 Wins             23 Wins

Football – Running Back Yards Gained—–   300 Yards        1,388 Yards

Baseball – Batting Average—————-   .075 Average    .347 Average

Based on the above comparisons, Trump would have difficulty making any of those teams and Obama would be a superstar.

Most Trump supporters are very smart. To confirm the above facts, I would suggest the information be checked out .  Real facts! Let your eyes see and inform you of the truth. Trump’s greatest economy ever? That’s a real false fact. And the real bottom line? It’s your money.

Alvin H. Goldberg

Great Neck

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