Elon Musk shares a simple idea to fix US economy and trade deficit after D.O.G.E Day on the Hill

Elon Musk has presented a blunt solution to revamp the United States economy and tackle its growing trade deficit: transition workers from what he describes as “low to negative productivity” government jobs into high-output roles in the private sector.

The Tesla CEO argues this is the only way to truly strengthen the economy by focusing on tangible output. His remarks came after his appearance on Capitol Hill, where he and biotech entrepreneur Vivek Ramaswamy discussed plans to slash federal spending and overhaul the bureaucracy.

The two were appointed by President-elect Donald Trump to lead the Department of Government Efficiency (D.O.G.E.), an advisory body tasked with providing recommendations to streamline government functions and cut unnecessary spending.

Their visit to Washington was the beginning of a series of in-person meetings with lawmakers, setting the stage for a sweeping review of federal operations.

Elon’s plans with D.O.G.E

Elon and Vivek, as outside advisers, are not official government employees. Their role involves gathering data, brainstorming solutions, and delivering actionable recommendations to the Trump administration by July 4, 2026.

The goal is ambitious: dismantle wasteful government spending while maintaining critical services like Social Security and Medicare, two programs Trump has vowed to protect.

House Speaker Mike Johnson, R-La., called the discussions with Elon and Vivek a “brainstorming session.” He said they were essential for “laying the groundwork” for upcoming legislative priorities.

Lawmakers, including Senator Thom Tillis, R-N.C., said the focus should include regulatory relief. “There are tens of billions of dollars in regulatory relief on the table now,” Tillis said, pointing to areas where excessive rules could be rolled back.

D.O.G.E. is not an official government department despite its name. It operates as a nimble advisory unit under the executive office of the president. This setup allows Elon and Vivek to propose bold ideas without the constraints of traditional bureaucracy.

They are assembling a small team of 10 to 12 staffers who will work with the Office of Management and Budget. Additionally, each federal department will have a D.O.G.E liaison to implement recommendations on spending and efficiency.

Cutting costs, trimming regulations, and targeting Rivian

One of D.O.G.E.’s early targets may be a $6.6 billion federal loan to Rivian Automotive, a Tesla competitor. Elon’s criticism of government subsidies has been a focal point of his political rhetoric. He reiterated his opposition to tax credits for electric vehicles, saying, “I think we should get rid of all credits.”

This aligns with Republican goals of cutting clean energy funding and prioritizing private-sector competition. The mission includes identifying regulations that D.O.G.E. believes exceed federal agencies’ legal authority.

Elon and Vivek intend to compile a list of such rules and present it to Trump. The president can then pause enforcement through executive action while initiating a review process to rescind them. This approach could deliver immediate cost savings and regulatory relief without needing congressional approval.

Elon’s political influence and controversies

Elon’s expanding role in politics has drawn scrutiny. His super PAC, America PAC, spent over $152 million during the 2024 campaign to support Trump and other Republican candidates.

He also used his platform, X (formerly Twitter), to amplify pro-Trump messages, turning the social media giant into a megaphone for conservative causes.

Critics argue this dual role as a political influencer and government adviser could create conflicts of interest, particularly given SpaceX’s reliance on federal contracts.

And also the fact that Elon does tend to get petty and vindictive sometimes. If his Trump power remains unchecked after the president takes the Oval, folks are worried he’ll want revenge on his long list of haters.

Vivek previously ran against Trump in the Republican primaries, bringing his own controversial track record to the D.O.G.E. initiative.

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