Don’t Spend That $5,000 DOGE Check You’ve Heard About Just Yet | Global News Avenue

President Donald Trump and his billionaire adviser Elon Musk have proposed to offer up to $5,000 to taxpayer checks based on checks that cut federal spending, but the policy is feasible Sex and potential impacts are far from certain.

Discussions about checks start spinning when social media users propose that the government send checks to taxpayers Federal spending cuts 20% of value It is determined by Musk’s government efficiency force. The Governor has always been Fire employees and Cancel grants and contracts In the president’s multiple federal agencies, orders to cut federal spending.

If the task force reaches the goal $2 trillion in spending cuts. Musk and Trump later made comments supporting the idea.

In a speech in Miami on Wednesday, Trump said he was considering allocating the Governor’s savings: “20% donated to U.S. citizens, while 20% pay off debts,” he said.

Can Doge cut enough time?

Still, it is unclear whether stimulus checks will be sent, their value or how long they may last.

Economists and other experts identified several major obstacles to check-in, first allowing Doge to implement cuts in federal spending.

The Constitution gives Congress, not the White House, the power of taxation and expenditure, which is raised in many lawsuits, challenging the legitimacy of the Doch action, including an attempt to close the U.S. international development agency, which is the organization that distributes foreign aid organize.

As its Mission statement states, another potential concern is that Doge’s funding volume will actually be able to save its efforts to reduce federal spending by targeting “waste spending across federal agencies.”

Early work efforts focused on contracts and federal employees, which accounted for a small part of the total federal budget. According to its website, the agency has saved $55 billion to date, but NPR’s independent analysis confirmed only $2 billion.

If 20% of that amount is sent to every U.S. adult, the check will be sent for $41, and if Doge’s Tally is accurate or $1.50, if it’s not saved, the check will be $1.50.

What impact does the inspection have on the economy?

The impact of shelving the spending cuts, the stimulus of the Mendog could impact the economy.

If the agency cuts spending by $2 trillion and issues $400 billion checks to citizens, economists at Oxford Economics estimate it will boost economic growth and inflation, which could be the first in 2026 Effective quarterly.

After the stimulus check, GDP for the quarter will grow at a rate of 2.9% per year, compared with a baseline forecast of 2.5%. Meanwhile, Bernard Yaros, an American economist at Oxford University, wrote in an email Investopedia.

However, the White House disagrees that checks will be inflationary. At a press conference with reporters today, Kevin Hassett, Director of the National Economic Commission Questions about the economic impact of checks were answered.

“If we don’t spend the government money and we give the money back to the people, if they spend all of it, then you are,” he said. “But they might save a lot, and in this case you are reducing inflation. ”