The projected costs equal $49 trillion, or nearly $400,000 per U.S. household.
The White House Council of Economic Advisers (CEA) issued a report, ahead of the midterm elections, estimating the economic and fiscal costs of the Democratic Socialists of America’s (DSA) published agenda for a ten-year period.
The council’s analysis of the DSA’s eight policy pillars found “the net fiscal burden of the seven programs that can be scored against the federal budget would total more than $49 trillion over ten years, which would be financed either by debt or by tax increases on the American people. This amounts to approximately $355,000 per American household.“
The report summary stated that massive tax hikes could reduce wages by 30 percent, increase inflation, and raise mortgage rates. The council projected that state control of industries would shrink job opportunities, reduce productivity, and ration care.
CEA also “assessed the DSA’s public-safety platform—abolishing the police, reclassifying offenses as misdemeanors, eliminating cash bail, and shortening sentences… The empirical literature finds that each of these policies raised crime where they were tried. Using a fifty-state panel, including Washington, D.C., with state and year fixed effects, CEA estimates that 1,000 additional crimes per 100,000 people per year (a 28.2 percent increase in the crime rate).“
As the Lord Leads, Pray with Us…
- For Chair Phelan as he heads the White House Council of Economic Advisers.
- For CEA members as they evaluate fiscal and economic projections and trends to inform the American public.
- For wisdom for U.S. citizens as they prepare to cast their ballots in the midterm elections.
Sources: The White House
