Why is Elon Musk's D.O.G.E said to be destined to fail?

President Donald Trump has established the Department of Government Efficiency (DOGE) to control federal spending, which reached a staggering $6.75 trillion in the past fiscal year, according to the Congressional Budget Office (CBO). That's like giving every American $20,000 in cash and still having debt. Elon Musk and Vivek Ramaswamy say they could cut 2 trillion dollars, but the issue here is: DOGE has no real power. This is a private advisory group that can only make proposals for Congress to consider or not. In addition, the scale of federal spending and the politics surrounding it, DOGE is shaping up to be Elon's most suspicious project to date. Let's analyze why all of this looks like a rocket accident. Government Spending Too Large to Cut The U.S. budget is dominated by mandatory spending, accounting for about three-quarters of the federal funds. This category is not debated in Congress annually. It includes Social Security, Medicare, Medicaid, and interest payments on federal debt. Last year, these expenses alone amounted to 4.89 trillion dollars. Social security costs $1.45 trillion. Medicare and Medicaid together are $1.49 trillion. These programs are not only large; they are untouchable. Trump himself promised to protect Social Security and Medicare. This makes Medicaid a potential target, but cutting it is not as simple as cutting numbers on a spreadsheet. According to the CBO, 56% of Medicaid benefits in 2024 will go to the elderly, blind, and disabled. Many nursing homes rely heavily on Medicaid payments to stay operational. Any attempt to cut any benefits is at risk of causing political backlash. And if we're honest, no one in Washington wants to explain why she can't afford to pay nursing home bills anymore. Interest payments are another cash sinkhole. The US government spent $950 billion last year just to pay interest on its $33 trillion debt. This figure is nearly equal to the entire defense budget. With rising interest rates, this cost is expected to double in the next decade. DOGE can't just sit back and fix that. Discretionary spending will not save the situation So what else is there to cut? Spend as you wish. This is the amount that Parliament votes on annually and is divided into two types: defense and non-defense spending. Last year, defense spending reached $850 billion. This money funds everything from buying aircraft carriers to supporting 1.4 million active duty personnel. Good luck persuading Congress to cut defense spending in an era of increasing global tension. Discretionary spending unrelated to national defense includes everything else: NASA, housing programs, education grants, farm subsidies—you name it. This category amounted to $950 billion last year. Critics often target these programs when calling for budget cuts. But the problem here is. All discretionary spending combined only accounts for 14% of the total budget. Even if DOGE eliminates all non-defense programs, it still cannot reduce 2 trillion dollars. Federal employees are another target. According to the White House Office of Management and Budget, federal employee salaries and benefits cost $384 billion last year. There are about 2.3 million civilian employees working for the executive branch, not counting postal workers. One-fifth of them work for the Department of Veterans Affairs. Add to this military personnel, the total salary fund amounted to $ 584 billion. The job cuts sound great until you realize that it's only just touching the surface of the deficit. Debt is a real issue Let's talk about the elephant in the room: debt. The federal revenue, or the amount of money the government collected from taxes last year, is 4.92 trillion dollars. This figure is less than 1.83 trillion dollars compared to the government's spending. This gap (budget deficit) accounts for 6.4% of the US GDP. And this is not a new problem. During the pandemic, the deficit-to-GDP ratio has reached 15%. Traditionally, deficits of this magnitude have only occurred during crises such as World War II or major recessions. The federal government borrows money to cover these shortfalls. Over time, that borrowing adds up. Currently, the United States is facing a total debt of 33 trillion dollars. CBO projects mandatory spending to increase by over 2 trillion dollars in the next decade, while interest payments will double. These trends make DOGE almost unable to implement meaningful cuts without addressing the underlying debt problem. Elon and Vivek Ramaswamy are Non-Traditional Leaders Then comes the question of leadership ability. Elon is a technology genius, but running an effective government program is a completely different matter. He is busy managing Tesla, SpaceX, Neuralink, and other projects. How much actual time can he devote to DOGE? Meanwhile, Ramaswamy is known for his biotech platform and libertarian political leanings. Both have little significant experience in navigating federal budgets or the complexities of government programs. Critics argue that their success in the private sector does not necessarily translate to expertise in the public sector. The federal budget is a web of preexisting laws, obligations, and benefits. Public perception is crucial. If people do not value DOGE, neither will the parliament. And so far, the reaction has been quite indifferent. Many see DOGE as a frivolous project of Elon and Ramaswamy rather than a genuine effort to address the deficit. Ultimately, DOGE must face a tough battle on all fronts.

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KingOfTheMiningRigvip
· 2024-11-27 03:49
Musk is Musk! Your sister's saying DOGE, Laozi thought the dog coin was going to be finished, you 250 editor!
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