#Treasury nominee warns of deficit risks#
Hot Topic Overview
Overview
Treasury Secretary nominee Scott Bessent warned at a Senate hearing that the U.S. would face an economic crisis that would hurt the middle class and working families if most of the 2017 Republican tax cuts were not extended beyond their expiration at the end of this year. He stressed the importance of addressing the budget deficit, saying the U.S. needs to "restore fiscal order" by adjusting non-essential domestic spending. He noted that non-essential spending, excluding benefits like Social Security and Medicare, had grown an alarming 40% over the past four years. In addition, he said he supports expanding sanctions against Russian oil companies and reiterated his respect for the Fed's independence in setting monetary policy.
Ace Hot Topic Analysis
Analysis
U.S. Treasury Secretary nominee Scott Bessent warned during his Senate confirmation hearing that the United States would face an economic crisis that would disproportionately hurt the middle class and working families if major portions of the 2017 Republican tax cuts were allowed to expire at the end of the year. He acknowledged the seriousness of the budget deficit and underscored the importance of addressing it, arguing that the country needed to "restore fiscal order" by adjusting non-essential domestic spending. He noted that non-essential spending, excluding benefits like Social Security and Medicare, has "grown an alarming 40% in the past four years." He also stated that the federal government's debt "will not be defaulted on" under his watch and that he respected the Federal Reserve's independence in monetary policy, adding his support for expanding sanctions against Russian oil companies.
Public Sentiment · Discussion Word Cloud
Public Sentiment
Discussion Word Cloud
Classic Views
The US budget deficit problem is serious. If the Republican tax cuts of 2017 are not extended after they expire at the end of the year, it will cause a serious economic crisis for the middle class and working class.
The US needs to restore fiscal order by adjusting domestic non-essential spending.
The US Treasury will not default and will respect the Federal Reserve's independence in monetary policy.
Support expanding sanctions against Russian oil companies.