Economic growth will pay for Trump’s tax cuts: Gary Cohn

President Trump’s Chief Economic Advisor Gary Cohn on Friday praised the July jobs report released by the Labor Department and said the U.S. economy is on a growth path.

“We now have created well over a million jobs since the Trump administration [has] come into office and since the election. The economy continues to grow. We got a GDP number last week of 2.6% for the quarter, unemployment rate down to 4.3%, back down to a 16-year low. Things are on course for the economy,” Cohn told FOX Business’ Stuart Varney.

The U.S. economy beat expectations in July, adding 209,000 net new jobs and increasing the labor force participation rate to 62.9% from 62.8%.

Cohn said the future growth of the economy will help pay for president Trump’s tax cuts.

“When you lower the corporate rate from 35% down to 15%, that 20% has an enormous multiplier effect in the U.S. economy. Of course we are going to get growth by lowering the business rate,” he said.

The White House National Economic Council director told FOX Business that the Trump administration is pushing for comprehensive tax reform to get the lowest rate possible for all businesses.

“We have agreed that rate is the number one factor that matters most in tax reform. We are going to do everything we can to get the rate on the businesses – and this is all businesses, not just corporate – down as low as we can.

Cohn also weighed in on the debt ceiling time frame as Treasury Secretary Steven Mnuchin urged Congress in a letter to raise the debt limit.

“I think we are all aware of what the legislative calendar looks like. We know how important debt ceiling is, Secretary Mnuchin has been working tirelessly on making sure the debt ceiling gets through and gets through appropriately. We are all working on taxes. We understand the budget and the budget process and how that’s going to play in and we feel confident that we can get it done this year,” he said.

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