CBO: Trump’s Budget Plan Won’t Curb Spiraling Deficit As Promised

U.S. President Donald Trump conducts a meeting with state and local officials to unveil his administration's long-awaited infrastructure plan in the State Dining Room at the White House February 12, 2018 in Washington, DC. The $1.5 trillion plan to repair and rebuild the nation's crumbling highways, bridges, railroads, airports, seaports and water systems is funded with $200 million in federal money with the remaining 80 percent coming from state and local governments.
WASHINGTON, DC - FEBRUARY 12: U.S. President Donald Trump speaks during a meeting with state and local officials to unveil his administration's long-awaited infrastructure plan in the State Dining Room at the White ... WASHINGTON, DC - FEBRUARY 12: U.S. President Donald Trump speaks during a meeting with state and local officials to unveil his administration's long-awaited infrastructure plan in the State Dining Room at the White House February 12, 2018 in Washington, DC. The $1.5 trillion plan to repair and rebuild the nation's crumbling highways, bridges, railroads, airports, seaports and water systems is funded with $200 million in federal money with the remaining 80 percent coming from state and local governments. (Photo by Chip Somodevilla/Getty Images) MORE LESS
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WASHINGTON (AP) — The nonpartisan Congressional Budget Office said Thursday that President Donald Trump’s budget plan won’t curb the spiraling deficit as it claims.

Trump’s budget, released in February and mostly ignored since, promises spending cuts and economic growth that would cut the deficit to $363 billion in 10 years. CBO said it would instead hit almost $1.1 trillion if all of the president’s policies were followed.

All told, CBO said Trump’s budget would produce deficits of $9.5 trillion over the coming decade instead of the $7.2 trillion promised by the White House.

CBO took a more cautious approach to estimating tax revenues and economic growth. It rejected Trump administration claims that last year’s $2 trillion-plus tax cut measure will pay for itself by boosting the economy.

Either way, deficits are likely to go even higher. Congress has passed legislation — signed by Trump — that rejected many of the proposed spending cuts in Trump’s budget.

CBO estimated that Trump’s budget, if passed by Congress, would cut spending by $3.5 trillion over the coming decade.

Even though Republicans control both Congress and the White House, they’ve shown no signs of addressing the budget deficit this year.

“The CBO confirmed today that the Trump budget would make drastic cuts to programs that millions of Americans rely on, while the Republican tax breaks for millionaires and corporations send our deficit soaring,” said top House Budget Committee Democrat John Yarmuth of Kentucky.

CBO provides budget estimates and analysis of legislation for Congress.

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Notable Replies

  1. Avatar for paulw paulw says:

    A republican lies about the budget. Color me completely not shocked or surprised.

  2. The nonpartisan Congressional Budget Office said Thursday that President Donald Trump’s budget plan won’t curb the spiraling deficit as it claims.

    Reality wins out over pie-in-the-sky promises that had no basis in any kind of rational economic analysis. What a shock.

  3. I’m shocked, shocked I say.

  4. Well, d-u-u-u-u-h . . .

  5. Paging Mr. Laffer , Paging Mr Laffer
    Your Curve is malfunctioning

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