How Trump’s fiscal policy could initiate a Great Resignation 2.0 in the job market

It’s evident that The Federal Reserve is feeling a lot of pressure with tariffs and will likely have forced to cut rates starting in June. We’re likely to get four 25 bps cuts before the end of the year.

One fiscal policy that not many people are aware about is H.R.900 - American Innovation and R&D Competitiveness Act of 2025.

This bill was introduced in March of this year and has bipartisan support. If and when this bill passes, it will initiate growth in the tech industry. In fact, amendments to IRC Section 174 is the biggest factor for tech layoffs since Q4 2022.

In a hypothetical scenario, Republicans will likely not want to pass this bill until the Federal Reserve introduces a rate cut or two.

Tariffs, rate cuts, and reverting amortization requirements (and making them retroactive) is a recipe for a Great Resignation 2.0, a strong job market, and new startups.