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There are some important caveats to that logic: - the share of the budget spending from these worker cuts is minuscule, even the overall cost of all federal wor
by kmos17 1y ago
There are some important caveats to that logic:
- the share of the budget spending from these worker cuts is minuscule, even the overall cost of all federal worker is a small percentage of spending, the bulk of spending is in entitlements and defense + debt repayment from deficit spending (which tax cuts always increase)
- if tariffs work at making manufacturing come back to the US then the tariff revenues will decrease since fewer products will be imported, and while they are in effect they are a tax increase which will slow down economic activity since they will directly affect consumer spending (unlike a tax increase on high earners would)