Friday, December 06, 2024

Op-Ed: DOGE — Disaster on its way


By Paul Wallis
AUSTRALIA EDITOR
DIGITAL JOURNAL
December 6, 2024

US President-elect Donald Trump said Elon Musk would lead an efficiency drive under his new administration. — © AFP/File Kena Betancur

The Department of Government Efficiency is looking at $2 trillion of cuts and “massive deregulation” and patting itself on the back a lot.

It’s like Reagan and Thatcher adopting a toy dog. Deregulation is a sort of conservative porn thing. It was one of the planks of Brexit, no Brussels regulations.

It’s made Britain what it is today – A ridiculous laughingstock with a hyper-expensive self-inflicted disaster to manage. The habitability of some parts of the country is now also in question.

Severe deregulation could do the same and a whole lot worse in America.

Bearing in mind that:

Musk has no experience at all in government.

Trump’s main experience in this area is in being charged under regulations.

A lot of the related finances are off the Treasury books, like riders on legislation, etc. There are trillions of dollars worth of these.



American government inefficiency is based largely on decades of refusal to modernize.

All laws include regulations for enforcement purposes.

The American revenue system is condemned to borrowing thanks largely to the refusal of people to pay taxes. Many of those people are extremely rich.

Federal laws and state laws are intermixed and interact. Any changes in regulation will have to be matched by the states. That could take decades.

DOGE cuts are always making news. The news until recently has been about what they’re not going to cut. Now, it’s much more grandiose.

Let’s start with that $2 trillion figure. Can you imagine a $2 trillion hit anywhere in the American economy without a lot of crashing and burning? They’ve been very non-specific about what they’re not cutting.

They’ve spent most of their time saying they won’t cut Social Security. That falls well short of any degree of reassurance about everything from food stamps to health.

The theory of efficiency has a few lighter moments and cautionary tales:

Argentina’s president says DOGE should go to extremes. Argentina went bankrupt again recently.

In 2008 the private sector had to be bailed out by the public sector. The sheer complexity of direct US government involvement in America’s dubious commerce like Fannie Mae and Freddie Mac, etc, doesn’t bode well for a smooth ride for DOGE.

There’s one other thing that might have an impact on DOGE. The country has been fossilizing for decades. It’s not just outdated ideologies. It really is “an antique land” with horrendous levels of crime, poverty and decay.

How surprised could you be to see these words on America’s tombstone:

Died of Greed and Excess.



















Disclaimer

The opinions expressed in this Op-Ed are those of the author. They do not purport to reflect the opinions or views of the Digital Journal or its members.




'Nothing Is Sacrosanct': GOP Floats Social Security Cuts After Musk Capitol Hill Visit

"They're going to put everything on the table," one Republican lawmaker said of Elon Musk and Vivek Ramaswamy.


Elon Musk and his son are seen in the U.S. Capitol after a meeting with Sen. John Thune (R-S.D.) on December 5, 2024.
(Photo: Tom Williams/CQ-Roll Call, Inc. via Getty Images)

Jake Johnson
Dec 06, 2024
COMMON DREAMS

Republican lawmakers on Thursday signaled a willingness to target Social Security and other mandatory programs after meeting with Elon Musk and Vivek Ramaswamy, the billionaire pair President-elect Donald Trump chose to lead a new commission tasked with slashing federal spending and regulations.

Though the GOP's 2024 platform pledged to shield Social Security, the party has reverted to its long-held position in the weeks since Trump's election victory, with some lawmakers openly attacking the program while others suggest cuts more subtly by stressing the supposed need for "hard decisions" to shore up its finances. (Progressives argue Social Security's solvency can be guaranteed for decades to come by requiring the rich to contribute more to the program, a proposal Republicans oppose.)

On Thursday, Rep. Ralph Norman (R-S.C.) emerged from a meeting with Musk and Ramaswamy with the message that "nothing is sacrosanct."

"They're going to put everything on the table," said Norman, one of the wealthiest members of Congress.

After airing Norman's remarks, Fox Business reported that Musk and Ramaswamy told lawmakers that no federal program is safe from cuts, "and that includes Social Security, Medicare, and Medicaid."


NBC News congressional correspondent Julie Tsirkin said Thursday that after meeting with Musk, Sen. John Thune (R-S.D.)—who was recently elected Senate majority leader for the upcoming Congress—told her that "perhaps mandatory programs are areas that they're looking to make cuts in, like Social Security, for example."

"But again, no specifics were laid out there," Tsirkin added.

Thune has previously voiced support for raising Social Security's retirement age, a change that would cut benefits across the board.



In the days leading up to their Capitol Hill visit, both Musk and Ramaswamy took swipes at Social Security, Medicare, and Medicaid and made clear the programs would be in the crosshairs of their advisory commission, which is examining ways to slash federal spending without congressional approval.

Earlier this week, Musk amplified a series of social media posts by Sen. Mike Lee (R-Utah), who once said he hopes to "get rid of" Social Security, Medicare, and Medicaid. Defenders of Social Security saw Lee's thread, and Musk's apparent endorsement of it, as a declaration of war on the New Deal program.

Days later, Ramaswamy said in an interview with CNBC that "there are hundreds of billions of dollars of savings to extract" from Social Security, Medicare, and Medicaid, claiming the programs are rife with waste, fraud, and abuse.

"People love to have lazy armchair discussions about, oh, are you going to make cuts to entitlements or not, when, in fact, the dirty little secret is that many of those entitlement dollars aren't even going to people who they were supposed to be going to in the first place," said Ramaswamy, advancing a narrative that observers warned could be used to justify additional bureaucratic barriers making it harder for eligible people to receive benefits.

Sen. Sheldon Whitehouse (D-R.I.), chairman of the Senate Budget Committee, said Thursday that the Trump-GOP agenda is "so predictable."

"Tax cuts for billionaire donors; benefit cuts for people on Social Security—how the billionaires loot our country (what, not rich enough already, fellas?)," Whitehouse wrote on social media.

In a column on Thursday, MSNBC's Ryan Teague Beckwith wrote that "Republicans somehow keep coming back to the idea of cutting Social Security" despite widespread opposition to such cuts among the American public.

"Would Trump try to cut Social Security? It's hard to say. Over the years, he has staked out every possible position on Social Security—sometimes within hours of each other," wrote Beckwith, noting that Trump previously called the program a "huge Ponzi scheme" and backed calls to raise the retirement age.

"So if Republicans—or Musk—decide to propose changes to Social Security benefits," Beckwith added, "it's possible that he might go along with it."


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