A second stimulus bill has failed to pass, with concerns about adding to the national debt being a major sticking point for the GOP. Democrats proposed a bill that would cost $2.2 trillion; Republicans have been hesitant to support a bill that would cost more than about $1 trillion, Forbes reported. Although President Donald Trump has since announced that he had instructed his staff to pause all discussions of a second stimulus bill until after the election, the national debt still remains a hot-button issue. Thanks in large part to the initial stimulus bill, the Congressional Budget Office expects the federal budget deficit to reach $3.3 trillion by the end of the year.
Although you might assume that a Trump presidency would add less to the deficit than a Joe Biden one would, the difference in costs of their campaign policy proposals is surprisingly small. An analysis conducted by the Committee for a Responsible Federal Budget found that Trump’s campaign plan would increase the debt by $4.95 trillion over 10 years and Biden’s plan would increase the debt by $5.60 trillion. Additionally, the analysis concluded that debt would rise from 98% of Gross Domestic Product (GDP) today to 125% by 2030 under Trump and 128% under Biden.
The Committee for a Responsible Federal Budget believes Trump’s biggest expenditures would be:
- $150 billion on child care and education
- $2.7 trillion on infrastructure and other domestic spending
- $300 billion on national security and immigration
- $1.7 trillion worth of tax cuts
The committee predicts that his spending on Social Security and retirement will stay the same and that he would reduce healthcare spending by $150 billion.
Our new analysis out today provides the most thorough look yet at the fiscal costs of the Trump and Biden campaign plans. See what they are promising and how it would affect the national debt https://t.co/fFB40xpIPI. #USBW2020 #election2020 pic.twitter.com/bPDh3OgWEa
— CRFB.org (@BudgetHawks) October 7, 2020
As for Biden, his predicted expenditures are:
- $2.7 trillion on child care and education
- $2.05 trillion on healthcare
- $1.15 trillion on Social Security and retirement
- $4.45 trillion on infrastructure and other domestic spending
He is predicted to reduce spending on national security and immigration by $750 billion and raise $4.3 billion through taxes.
The two presidential candidates may have wildly different policies and spending priorities. But when you do the math, it turns out that they are both likely to add to our already daunting national debt.
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