Elon Muskwho until recently led the Government Efficiency Department (Doge)harshly criticized the New fiscal reform PROMBER BY THE PRESIDENT Donald Trumpa standard that extends the tax cuts approved in 2017 in exchange for strong reductions in social spending. The businessman questioned the economic effects of the law and regretted that weakens team efforts that he himself headed.
“I have disappointed to see the huge expenditure bill, frankly, which increases the budget deficit, not only reduces it, and undermines the work that the Doge team is doing”, Musk said in an advance of an interview that will be broadcast on the weekend. The criticism was known the same day that a rocket of Spacex He suffered a new failure during a flight test, the third consecutive setback for his aerospace company.
The White House celebrated the approval of the project, which Trump himself described as a “Great and beautiful law”According to the government, the measure will generate employment and boost the economy, although experts agree that the Fiscal deficit and expand the public debtthat already exceeds U $ s36 billion.
The approval of the law promoted by Donald Trump
The new legislation was approved by a narrow margin in the House of Representativeswith 215 votes in favor and 214 against. However, the debate in the Senatewhere there are also doubts. All Democrats and two Republicans, Thomas Massie of Kentucky and Warren Davidson of Ohiothey voted against. Even the president of Caucus de la Libertad, Andy Harrishe abstained with a “present” vote.
The measure aims to reduce by approximately U $ s1.5 billion The expenses of the State, while extending tax cuts destined mainly to the highest layers of the population and large companies. But the own Congress Budget Office projected that the reform will cause an increase in the deficit of U $ s3.8 billion for 2034a fact that even some sectors of the ruling recognize as inevitable.
Elon Musk Doge’s exit
Since his departure from public management, Elon Musk had promised to focus again on his business, especially in Teslawhose profitability fell into the first quarter of 2025. During a conference with shareholders at the end of April, the businessman anticipated his retirement: “Probably from next month, in May, my time dedicated to Doge will decrease significantly”
However, their recent statements show that it is still committed to The legacy of that officecreated by himself by assuming a central role in the administration. Through Doge, Musk promoted mass layoffs of public employees, closed federal agencies and promoted the Elimination of social programsarguing a fight against waste and abuse of state resources.
In his television speech, Musk also launched an ironic message addressed to the president’s slogan: “A law can be large or can be beautiful, but I don’t know if both can be. It is my personal opinion”The phrase, full of sarcasm, sought to undermine one of Trump’s main pillars.
What is Doge
Doge worked as an instrument of power concentration within the Executive. Although its official mission was to reduce the deficit, it also agreed to fiscal databases and confidential information of taxpayers, which caused numerous criticisms. Its structure was largely formed by young people without experience in public management, many of them from companies linked to Musk.
The official project announced a communication campaign to highlight its supposed benefits. However, the climate in Washington It has been tensioned for the growing concern about fiscal sustainability. He Treasury Department reported that in the fiscal year 2025the government spent U $ s1.05 billion more than he raised.
Trump’s decision of continue with tax cuts of 2017, which were about to expire, it took after weeks pressure on legislatorswho received personal calls and warnings of the president himself and the environment of the movement Maga. Despite this, the support was fragile and several figures recognized in private that the law will aggravate the fiscal problem.
Musk, from his new position, seems determined to Mark distance. Although he no longer directs the Doge, his voice remains influential. And his public discontent It represents an alert signal for an administration that opted to consolidate power and reduce the State without addressing the long -term economic consequences.
Source: Ambito
