All articles tagged with #deficit spending
Bitcoin's price increased slightly to around $107,937 following President Trump's comments on social media, which reassured GOP lawmakers about economic growth offsetting deficits, boosting the bullish outlook for BTC and gold amid ongoing fiscal policy debates in Washington.
Bill Gross, co-founder of Pimco, believes a Donald Trump win in the U.S. presidential election would be more bearish for bond markets than Joe Biden's re-election due to Trump's advocacy for continued tax cuts and expensive programs. Gross also criticizes the current deficit spending and suggests investors temper their expectations for stock market returns.
The Problem Solvers Caucus, a group of 64 moderate lawmakers split evenly between the parties, has proposed a short- and long-term budget strategy to prevent a government default later in the year if the debt ceiling battle between President Biden and Speaker Kevin McCarthy fails. The proposal includes a suspension of the debt limit through the end of the calendar year and the creation of an outside commission designed to rein in deficit spending and reduce the country’s $31.5 trillion debt over the long haul. The group's plan is not meant to encroach on the current negotiations, but it merely represents a backstop in the event those talks falter.
Treasury Secretary Janet Yellen supported President Biden's proposed budget that would accelerate inflation and raise the deficit by $17 trillion over ten years. Yellen claimed that inflation is the nation's number one economic priority while also calling it "temporary." She also ignored how Biden's budget would hurt the economy through $4.7 trillion in tax increases, including painful new levies on small businesses and families. Additionally, Yellen showed no concern for the fate of community banks, whose depositors are currently fleeing in mass to the nation's big banks.