Besides some of the things I don’t agree with, what else could go wrong, and do the positives outweigh the negatives?
Trump wants Elon Musk to tackle government efficiency
Trump has previously advocated for reforming the civil service
The idea was initiated by Musk who said he would work for free
Trump claims the plan would save the government trillions
(NewsNation) — Former President Donald Trump wants billionaire Elon Musk to do a financial and performance audit of the government to facilitate massive reforms.
Trump announced the idea during an address at the New York Economic Club, where he unveiled his economic agenda should he win a second term. He said Musk had suggested the idea, noting that Musk also endorsed his candidacy.
The former president said such an audit would be to combat waste and fraud and suggested it could save trillions for the economy.
As the first order of business, Trump said that this commission will develop an action plan to eliminate fraud and improper payments within six months.
Musk quote tweeted news of Trump’s plan and wrote; “I look forward to serving America if the opportunity arises,” he said Wednesday.
“No pay, no title, no recognition is needed,” Musk added. In a separate quote tweet, the X owner said the commission “is badly needed.”
Trump has long advocated for reforming the government, including efforts to make it easier to fire nonpolitical civil service employees.
Those employees are currently protected from being fired because their political views do not align with the White House, something Trump has said he plans to change.
Trump and Musk have a reputation for firing workers, including mass layoffs. Musk let go of a significant portion of Twitter’s workforce when he bought the company, now known as X.
Musk has also faced multiple legal actions due to the practice, including those alleging unfair dismissal, firings as an act of retaliation and alleging Musk did not provide necessary severance for employees. He has also been accused of violating labor laws.
https://www.newsnationnow.com/politics/2024-election/trump-musk-government-efficiency/
A push to reduce the corporate tax rate
Trump said Thursday he would reduce the corporate tax rate to 15%, from 21% – but only for companies that make their products in the US.
“If you outsource, offshore, or replace American workers, you are not eligible for any of these benefits. In fact, you will pay a very substantial tariff when a product comes in from another country,” the former president said in his speech.
Trump has said repeatedly that he’s interested in lowering the corporate levy further than the 21% rate put in place by his 2017 tax law, one of the signature achievements of his administration. Prior to the law, the corporate tax rate was 35%.
The former president has argued that reducing the rate, along with making other provisions of the tax law permanent and enacting additional tax cuts, would grow the economy, raise revenue and cut the deficit. However, the economic effects of the 2017 law remain a matter of debate among experts. And slashing the rate that low could prove a hard sell in Congress, which would have to approve the measure amid concerns about the rising federal debt.
But Trump also pointed to his proposed government efficiency commission as a way to reduce government spending.
“As the first order of business, this commission will develop an action plan to totally eliminate fraud and improper payments within six months,” he told the audience. “This will save trillions of dollars.”
Trump and congressional Republicans have long pointed to combating waste, fraud and abuse as ways to save the federal government money. But that refrain is “often an excuse to do nothing,” said Marc Goldwein, senior policy director for the Committee for a Responsible Federal Budget.
The commission would also have to be given a broad mandate to review the largest federal spending programs – Social Security, Medicare and defense – to be most effective, Goldwein said.
Other proposals
Trump on Thursday proposed a ban on mortgages for undocumented immigrants in an effort to address housing affordability. The impact of what he described as a “flood” of “illegal aliens” on pushing up housing costs can’t be ignored, the former president said.
Undocumented immigrants, however, make up a tiny portion of the mortgage market. In 2023, only 5,000 to 6,000 mortgages were made to holders of Individual Tax Identification numbers, according to a recent Urban Institute report. (Those who are not legally authorized to work in the US obtain ITINs to file taxes since they are not eligible for Social Security numbers.)
Other ways Trump said he would make housing more affordable included getting rid of regulations that increase costs – with the goal of cutting the cost of a new home in half – and opening up some federal land available for large-scale housing construction in low-tax, low-regulation zones. He said falling interest rates would send mortgage rates down to 3% or even lower, which would make financing less expensive for homebuyers.
Trump also promised Thursday to make gasoline cheap again by slashing red tape and drilling for more oil.
“We’re going to get gasoline below $2 a gallon,” he said in his speech.
However, some experts warn it would take an economic calamity to make that happen.
“Think about Covid. That’s the type of situation you would need to get gasoline under $2,” Andy Lipow, president of consulting firm Lipow Oil Associates, told CNN in a phone interview. “You would need a significant economic downturn across the world – including in the US – that substantially and negatively impacts demand. You’d need oil at $40.”
https://www.cnn.com/2024/09/05/politics/trump-economic-plans-musk-government-commission/index.html
