Kamala Harris exaggerated the truth about the merits of her economic policies during her heated debate with Donald Trump, according to one Wall Street titan.
Goldman Sachs CEO David Solomon, who argued in a showdown on Tuesday that he had overstated the investment bank's analysis of his plan, criticized the vice president for overstating the report.
Solomon noted that the report was “from an independent analyst” and that Harris left out important details, such as the fact that the difference on the economy between the competing plans was “about one-half of a percentage point.”
“I think this has escalated into a bigger event than it was originally intended to be,” Solomon told CNBC on Wednesday.
“The report looked at some of the policy agendas put forward by both sides and tried to model the impact that would have on GDP growth,” Solomon explained. “The reason this report got so much attention is because it showed that the difference between the policies put forward by the two sides was on the order of half a percentage point.”
Harris has argued that her economic vision is better than that of the previous president.
“I've proposed what I call an opportunity economy, and some of the best economists in our country, if not the world, have been working on a comparative plan for America's future,” she said at the debate.
“Goldman Sachs says Donald Trump's plan will make the economy worse, my plan will make the economy stronger.”
Wall Street investors have expressed concern that Harris' proposed corporate tax hikes would hurt corporate profits.
She also proposes raising capital gains tax rates, arguing that this would encourage investors to put more money into small businesses and startups.
Analysts say the approach has generally not worked as well as hoped in raising government revenue.
President Trump's tax proposals are widely seen as good for businesses, but Economists worry his plan could reignite inflation. and increasing the national deficit.
