FOX Business host Larry Kudlow touts signs of economic growth under President Donald Trump, despite media predictions he would trigger a recession.

LARRY KUDLOW: The Trump economy booms, whether the media likes it or not. That is the subject of the riff. The most widely predicted recession from Trump tariffs and ‘One Big Beautiful Bill’ deficits still has not happened. In fact, we’re going the other way. The Atlanta Fed’s GDPNow tracking model shows Q2 up 4.6% annually; consumer spending revised up from 3.8% to 4.6%; and capital equipment spending from 5.1% to 8.8%. There is a boom in business and investment. The widely expected tariff-related stock market crash has turned out to have the makings of a new bull market. In May, the S&P 500 turned in its best performance since 1990. I think it has a lot to do with the tax incentive in ‘One Big Beautiful Bill.’ Here is Senate Majority Leader John Thune yesterday: “There are different ideas in some cases with respect to some of the savings and whether we can achieve a higher level. I think, too, on some tax stuff… For sure, the question of permanence on business taxes-where you get pro-growth and additional revenue that comes with a growth dividend. Mr. Thune has the story exactly right. And let’s not forget this much-heralded inflation spike that has yet to materialize. In fact, the Fed’s favorite inflation indicator has now slipped to 2.1% over the past year — nearly hitting their 2% target. Of course, the liberal media will not admit that they have been wrong on this Trump economy. Instead, they are doubling down on their usual pessimistic mantra, but Trump is doubling down on his ‘One Big, Beautiful Bill.’ And he is right to do so. Last night, he made a powerful case for the bill on Truth Social. Let me quote: “We will take a massive step toward balancing our budget by enacting the largest mandatory spending cut EVER, and Americans will get to keep more of their money with the largest tax cut EVER, and no longer taxing tips over time or social security for seniors, something 80 million voters uspported in November. It will unleash American Energy by expediting permitting for Energy, and refilling the Strategic Petroleum Reserve… It will kick millions of Illegals off Medicaid, and make sure SNAP is focused on Americans ONLY! It will also restore Choice and Affordability for Car purchases by REPEALING Biden’s EV Mandate, and all of the GREEN NEW SCAM Tax Credits and Spending.” Strong stuff. I am sorry. Elon Musk has decided to take pot shots at the bill, especially after Mr. Trump gave him such a graceful send-off in the Oval Office. But look: all of Elon Musk’s waste, fraud, and abuse discoveries will be rescinded in bills over time. And as far as the battle over the budget deficits, there are estimates all over the place. CBO’s got one, Penn-Wharton, Tax Foundation, House Budget Committee. So I will assume the official White House budget, when it comes out, will project something like 2.7% growth over the next 10 years. At that pace, budget deficits will turn into a budget surplus by the end of the planning period, somewhere between $ 1 trillion to $ 2 trillion surplus. That is where Mr. Thune is right, talking about additional revenue that comes with a growth dividend from huge supply-side incentives, especially from making the business tax cuts permanent.

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