Our forthcoming book is The Comeback: The 2024 Elections and American Politics. Trump completes the comeback with his inauguration today.
He faces big challenges as he becomes president again. These challenges have one thing in common: arithmetic.
Trump has promised “the largest deportation program in American history,” targeting millions of undocumented immigrants. According to the American Immigration Council, it would cost up to $88 billion to deport a million immigrants in a year. And that’s just the direct cost of finding, detaining, and removing them. Americans would have to pay billions more to replace the labor that undocumented immigrants currently perform.
Trump also wants to cut taxes and raise military spending. Together with the cost of mass deportation, these decisions would increase the federal deficit, now nearly two trillion dollars a year. Those deficits would add to the federal debt, which currently stands at an astounding thirty trillion dollars. American taxpayers must pay a trillion dollars a year for interest on this debt.
How will Trump offset his tax cuts and spending increases? He proposes new tariffs, claiming that other countries will pay them. That is false. American importers pay tariffs, and they pass the cost to American consumers. The result will be higher prices. Inflation led to Joe Biden’s defeat and would make Trump unpopular, so do not expect him to follow through with this policy.
Trump has named Elon Musk and Vivek Ramaswamy to head a commission to fight wasteful spending. (Ramaswamy, however, will reportedly leave the commission to run for governor of Ohio.) There have been many such commissions over the years, and they have never had much impact on the deficit. Do not expect Musk to fare any better. He has no government experience or any expertise in the federal budget.
Perhaps the best thing for the United States would be for Trump to break his promises on taxes and spending.
Divided We Stand
New book about the 2020 election.
