Donald Trump’s Bad Budget Bill

The United States is destroying itself with its out-of-control spending. President Donald Trump’s Big, Beautiful Bill squeaked through the House with a one-vote margin, but it may not make it through the Senate without some drastic changes.

• Senators Rand Paul and Ron Johnson oppose the bill because it will “explode” the national debt by $3.1 trillion over the next decade.
• They are hoping to hold up its passage until President Trump gets serious about reducing spending.

Lashing out: President Trump has lashed out at Senator Paul. “Rand Paul has very little understanding of the bbb, especially the tremendous growth that is coming,” Trump posted on Truth Social on June 3.”He loves voting ‘no’ on everything; he thinks it’s good politics, but it’s not.”

Yet in this circumstance, it is Donald Trump who is sacrificing the good of the country for political expediency. Elon Musk, who exited the Department of Government Efficiency on May 30, also lambasted the Big, Beautiful Bill as a “massive, outrageous, pork-filled congressional spending bill.”

Increased spending: In its current form, the Big, Beautiful Bill extends President Trump’s 2017 tax cuts while dramatically increasing defense spending. The net effect is a $2.5 trillion annual deficit and between $2.3 trillion and $5 trillion in additional debt over the next 10 years.

President Trump argues that this isn’t a problem because his tax cuts will stimulate economic growth. But the cuts are expected to increase the economy’s growth rate by only 4 percent.

The Big, Beautiful Bill could push the deficit to 8 percent of gross domestic product. America’s debt-to-gdp ratio will increase no matter how you slice it. This is why Senator Paul, Elon Musk and other fiscal conservatives are upset.

President Trump is mortgaging America’s future for temporary tax cuts today.

A warning: Ray Dalio, the billionaire founder of hedge fund Bridgewater Associates and author of How Countries Go Broke, recently warned that if the Trump administration does not reduce the budget deficit to 3 percent of gdp or less, a major debt crisis will likely cripple America within three years.

As America’s debt-to-gdp ratio climbs above 125 percent, bond yields will increase, and the interest on the national debt will get more expensive. The government already spends one fifth of tax revenue on interest payments, so it will not take much of a rate hike to push the nation into a financial crisis.

doge gave America a chance to turn things around and avert financial ruin, but President Trump is choosing to ignore Musk’s warnings so he can continue to run up the debt.

America’s leaders are enriching themselves and their constituents by saddling the next generation with nation-destroying debts.

Learn more: Read “The Biggest Threat to America’s National Security.”