Economist Joseph Gagnon contends that tariffs and the closure of USAID will not address the US national deficit.
Despite the appeal of cost reductions being pursued by President Donald Trump, there is discord among economists regarding the potential outcomes of these measures.
Joseph Gagnon, a senior fellow at the Peterson Institute for International Economics, explains to host Steve Clemons that Trump’s belief that tariffs on imports can serve as a substitute for taxes is not feasible.
Gagnon asserts that the US government is in need of streamlining and modernization. While actions such as laying off numerous federal employees and dismantling USAID could result in saving billions, the impact on the national economy and the country’s trillions of dollars in debt remains uncertain.
Explore the discussion on the future consequences of Trump’s proposed “major overhaul” of the US government.
