All articles tagged with #federal spending
President Trump announced a deal to expand Medicare coverage for weight-loss drugs like Ozempic and Wegovy, reducing costs for beneficiaries and potentially increasing federal spending by at least $35 billion from 2026 to 2034, amid ongoing concerns about the national debt.
Goldman Sachs warns that the ongoing U.S. government shutdown could cause the largest economic damage on record, potentially reducing Q4 2025 GDP growth by 1.15 percentage points if it lasts about six weeks, with a possible rebound in early 2026, highlighting significant near-term economic risks.
The ongoing government shutdown, now the second-longest in U.S. history, could result in a loss of up to $14 billion in real GDP, with some economic effects not fully recoverable. While most losses are expected to be made up after the government reopens, the shutdown will temporarily reduce economic activity, impact federal spending, and slow GDP growth through the end of 2025.
The US government shutdown is weakening Congress's control over federal spending, as President Trump reallocates funds and takes unilateral actions, raising concerns about the erosion of congressional authority and constitutional boundaries amid partisan disputes.
As the government shutdown deadline nears, Democrats and Republicans engage in political stunts and blame-shifting, risking federal service disruptions and furloughs for workers amid heightened partisan tensions.
The Supreme Court has permitted Trump officials to freeze billions of dollars in foreign aid, marking a victory for the administration's efforts to increase control over federal spending.
Senator Murkowski criticizes the Trump White House's attempt to unilaterally rescind $4.9 billion in federal funds through illegal 'pocket rescissions,' risking bipartisan spending negotiations and highlighting ongoing power struggles over congressional authority to control federal spending.
The US federal deficit reached a record high of $291 billion in July 2025, driven by increased government spending on social programs, healthcare, and interest payments, despite a fourfold increase in tariff revenue, which was insufficient to offset the rising expenditures and structural fiscal imbalance.
A report highlights that effective hepatitis C treatments, despite their high cost, ultimately reduce overall federal healthcare spending by curing the disease and preventing costly complications, illustrating a 'grim reaper effect' where government hesitance to fund life-saving treatments is counterproductive.
President Donald Trump doubted Elon Musk's claim to cut $1 trillion from federal spending, and their relationship was marked by disagreements, Musk's departure from the White House, and reports of Musk's drug use and erratic behavior. Musk's efforts to reduce federal costs fell short, and his tenure included conflicts with Trump’s staff and personal issues, leading to his exit from the administration.
Elon Musk dismissed a New York Times report alleging his drug use, including ketamine, during his time with the Trump administration, and announced his departure from the government efficiency role, while continuing to support federal spending cuts through his DOGE initiative.
Elon Musk's efforts to cut U.S. federal spending have resulted in modest savings of about $19 billion over four months, far below his initial goal of $2 trillion, with some cuts being reversed or delayed due to legal and procedural issues. The overall impact shows a slight increase in government spending, driven by rising debt interest and ongoing costs, despite targeted reductions in agencies like Education and USAID.
A former DOGE staffer predicts the department's efforts to cut federal costs, initially championed by Elon Musk, will likely fade without his leadership, as internal confusion and lack of clear objectives persist. Despite claims of significant savings, the group's future remains uncertain following Musk's departure from the project.
President Donald Trump is holding a press conference with Elon Musk to mark Musk's departure from the Department of Government Efficiency (DOGE), a Musk-led initiative aimed at reducing government size and costs. Musk's exit comes amid tensions over recent legislation and his focus on his business ventures like Tesla and SpaceX. The departure raises questions about the future of DOGE and the impact on government spending cuts.
Senior House Republicans are concerned about the feasibility of Elon Musk and Vivek Ramaswamy's plan to cut $2 trillion in federal spending, as it may require touching mandatory spending programs like Social Security, which are politically sensitive. The GOP is grappling with how to implement these cuts without affecting defense spending or popular programs, while also considering Trump's potential unilateral spending decisions. The Department of Government Efficiency (DOGE) initiative is facing skepticism and legal challenges, with lawmakers emphasizing the need for collaboration with Congress.