Snip, snip: Spending cuts are coming
Republicans’ agenda of cutting taxes and increasing spending on their policy priorities depends significantly on identifying productive spending reductions. But just cutting spending will not be enough. Republicans must also explain how their tax and spending cuts will result in better outcomes for all Americans.
The federal debt has exploded to $36 trillion and annual deficits now approach $2 trillion for the foreseeable future. Just the interest on the debt totals almost $1 trillion per year, exceeding the cost of national defense. For Republicans, the underlying problem is simple: As Treasury Secretary Scott Bessent described in his recent confirmation hearing, “we do not have a revenue problem.” Instead, “spending is out of control.”
Upcoming bills threaten to make budget imbalances worse. Congress must soon pass legislation to prevent a government shutdown and increase the debt limit. Expensive relief for California wildfires is likely. And Republicans are planning a massive budget reconciliation bill to extend expiring tax cuts and increase spending on immigration enforcement, defense and other administration priorities.
Supporters rightly argue that allowing the tax cuts to lapse would harm everyday Americans. Ways and Means Chairman Jason Smith (R-Mo.) notes that would mean “40 million parents will have their child tax credit slashed in half.” Meanwhile, official scorekeepers project that extending current tax........
© The Hill
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