CUT CONSTRAINTS

While strongly desired, reality will constrain Republican tax cutters. Trump’s 2016 victory came with a 47 seat House majority, this time it’s maybe 11. In 2016, the deficit was 3.1% of GDP, it’s now 6.1%, and the national debt was 100% of GDP, not 123%. Moreover, in 2016 debt service was 2.4% of GDP, today it’s 3.4% and rising. Lastly, the debt ceiling comes back into play on 1/2/25.