Elon Musk agreed with an X user who said the billionaire's suggested major government spending cuts initially would cause markets to "tumble" before resulting in "a rapid recovery to a healthier, sustainable economy."
Former President Donald Trump, the Republican presidential candidate, has endorsed Musk's suggestion that a Government Efficiency Commission be created to conduct a financial and performance audit of the full federal government.
If Trump defeats Vice President Kamala Harris in Tuesday's election, he said the commission would act quickly to "develop an action plan to totally eliminate fraud and improper payments within six months."
At Trump's Madison Square Garden rally Sunday in New York City, Musk said he can eliminate at least $2 trillion from the federal budget.
X user FischerKing commented Monday afternoon on the Trump/Musk plan.
"If Trump succeeds in forcing through mass deportations, combined with Elon hacking away at the government, firing people and reducing the deficit – there will be an initial severe overreaction in the economy – this economy propped up with debt (generating asset bubbles) and artificially suppressed wages (as a result of illegal immigration). Markets will tumble.
"But when the storm passes and everyone realizes we are on sounder footing, there will be a rapid recovery to a healthier, sustainable economy. History could be made in the coming two years," FischerKing posted.
Musk, CEO of Tesla and SpaceX, responded: "Sounds about right."
During a virtual town hall Friday on X, Musk said the U.S. had to reduce spending "to live within our means," and added the efforts would "involve some temporary hardship, but it will ensure long-term prosperity."
He later added he would "balance the budget immediately" if he takes a government position.
"Obviously, a lot of people who are taking advantage of government are going to be upset about that. I'll probably need a lot of security, but it's got to be done. And if it's not done, we'll just go bankrupt," Musk said.
The Treasury Department says the federal government spent $6.75 trillion in fiscal year 2024, but only took in $4.92 trillion in revenue, leaving a $1.83 trillion shortfall.
Charlie McCarthy ✉
Charlie McCarthy, a writer/editor at Newsmax, has nearly 40 years of experience covering news, sports, and politics.
© 2024 Newsmax. All rights reserved.