Business Leaders Grumble, But Biden Still Holds Their Cash
Despite a growing chorus of complaints from corporate executives about President Biden’s policies and rhetoric, most business leaders continue to support the President financially. While some high-profile figures in Silicon Valley and on Wall Street have become more vocal in their criticism of Biden and praise for former President Trump, overall, there’s little evidence of a significant shift in allegiance towards the Republican candidate among business elites.
Key Takeaways:
- Corporate Complaints: Business leaders have expressed dissatisfaction with Biden’s policies on taxation, regulation, and labor, particularly his rhetoric on corporate greed.
- Financial Support: Despite complaints, most business leaders continue to donate to Biden’s re-election campaign.
- The "Trump Factor": Many business leaders are motivated by the desire for stability and predictability, fearing a repeat of the chaotic Trump administration.
- Unease with Regulators: Both Gary Gensler of the SEC and Lina Khan of the FTC have drawn particular ire from the business community.
- A Shift in Tone: Some Republican executives, once skeptical of Trump, are becoming more vocal in their support, likely due to Trump’s perceived chance of winning.
A Familiar Chorus of Complaints
This isn’t the first time a Democratic president has faced pushback from the business community. Biden’s proposed corporate tax rate increase to 28% from 21%, along with the elimination of certain industry tax breaks, has been a point of contention. Additionally, his proposals to raise taxes on wealthy individuals, many of whom are business leaders or their investors, have fueled further resentment. His administration’s increased regulatory scrutiny on environmental protection, worker safety, and consumer rights has also been met with resistance.
The "Trump Factor" in the Mix
The fear of a return to the volatility of the Trump era is a powerful motivator for many business leaders. They see Biden as a more predictable and reliable leader, even if they disagree with some of his policies. Many cite their concerns over Trump’s unpredictability, his tendency to undermine established institutions like the Federal Reserve, and his policies on immigration and trade.
The Role of Regulators
While the business community often expresses discontent with Democratic presidents, the administration of Gary Gensler at the SEC and Lina Khan at the FTC has sparked some of the most heated criticism. Khan, in particular, has been accused of being overly aggressive in her pursuit of antitrust enforcement and has drawn vitriol from prominent Silicon Valley figures like Vinod Khosla.
Financial Support Remains Steady
Despite the complaints and criticisms, business leaders continue to support Biden financially. Many prominent executives, including Marissa Mayer and Mark Cuban, have contributed to his re-election campaign. The Biden administration also boasts a record of corporate profits during his presidency, a factor that likely contributes to the continued financial support.
A Shift Towards the Republican Camp
While most business leaders are still in the Democratic camp, a growing number of Republican executives who previously expressed reservations about Trump or supported him quietly are now more publicly backing the former president. This shift in tone is likely driven by the perceived closeness of the race and the belief that Trump has a realistic chance of winning.
Looking Ahead
The relationship between the Biden administration and the business community remains complex and fraught with tension. While complaints are common, the financial support for Biden remains strong. This suggests that, despite disagreements over policy, many business leaders view Biden as the more stable and predictable choice for the upcoming election. The true impact of these opposing forces will remain to be seen as the election draws closer.
