I happened to catch a minute of Fox9 News in Minneapolis the day the debt hit 22 trillion. They said the debt reached 22 trillion today and it is mostly caused by defense spending and the tax cuts.
So if we get rid of defense and tax cuts we will be debt free in no time.
Look at what's happened since the tax cuts went into effect.
Economists hiked their projections for growth this year once the tax cuts passed. The CBO changed its 2018 forecast from 2% before the tax cuts passed to 3.3% after they took effect. In that same report, the CBO admitted that this added growth would offset a significant chunk of the tax cuts.
Other Democratic big lies about the tax cuts continue to fall.
In fact, corporations are bringing hundreds of billions of dollars in profits back as a direct result of changes in the corporate tax laws — 12% of the nearly $3 trillion held overseas came back to the U.S. in just the first three months of 2018. That will mean more economic growth and additional corporate revenues.
The problem the country faces isn't that taxes are too low, but that spending is too high. The CBO projects that even with the Trump tax cuts in place, taxes as a share of GDP will steadily rise over the next decade, and will be higher than the post-World War II average.
But bringing in more tax revenues doesn't help if spending goes up even faster. And that has, unfortunately, been the case, as the GOP-controlled Congress has gone on a spending spree.
Look at it this way. Tax revenues are up by $31 billion so far this fiscal year compared with last year. But spending is up $115 billion.
In other words, the entire increase in the deficit so far has been due to spending hikes, not tax cuts.