Tesla CEO Elon Musk, co-leading a new advisory body called the Department of Government Efficiency (DOGE) for President-elect Donald Trump, recently revised his ambitious goal of cutting the federal budget by $2 trillion. In an interview broadcast on X, Musk claimed that the $2 trillion figure was a “best-case outcome,” and he estimated that a more realistic target would be around $1 trillion. This significant downgrade follows criticism from budget experts, who highlighted that the entire discretionary budget is only approximately $1.7 trillion. Despite his softened expectations, Musk remains optimistic about influencing significant budget cuts, emphasizing that achieving a reduction from a $2 trillion deficit to $1 trillion could stimulate economic growth and prevent inflation. The DOGE panel, which operates without official authority, is expected to make recommendations to the White House after Trump’s inauguration. Experts suggest that substantial savings would likely require cuts to mandatory programs like Medicaid, which Musk acknowledged might entail hardship for some individuals. While Musk did not specify potential cuts during the interview, he described the budgetary landscape as a “very target-rich environment for saving money.”
