Trump Endorses Musk's Plan to Return Government Savings to Taxpayers; Experts Skeptical

Washington - President Donald Trump has expressed support for a proposal to return government savings, potentially up to $5,000 per household, to taxpayers. The idea, initially suggested on social media, stems from Elon Musk's efforts to cut government spending. James Fishback of Azoria Partners, who launched his firm at Mar-a-Lago, promoted the idea, estimating potential savings of $500 billion by July 2026, which could result in checks of $1,250 per household.

However, budget experts are skeptical about achieving such significant savings, citing the unlikelihood of cutting nearly one-third of the federal government's annual spending. Concerns have also been raised about the potential for increased inflation due to the distribution of checks, similar to stimulus payments during the pandemic. Economists like Ernie Tedeschi from the Yale Budget Lab argue against additional checks, while others, like Elaine Kamarck from the Brookings Institution, dismiss the proposal as unrealistic.