This video is from 2015. David Pakman described Trump’s tax plan us “deficit exploding”. It is still exploding the deficit.
Under Trump’s new plan he will add one trillion dollars to the national debt. That’s on top of the deficit that has already expanded by for fiscal 2017 by $666 billion, or 3.5 percent of the overall U.S. economy. It’s amazing because Republicans have complained about the deficit as long as they were not in control. Every year the country runs a deficit and thereby adds to the national debt. That debt is now seven percent of federal spending. That’s not yet a calamitous level, but it’s already more than 40 percent of what we spend on national defense—and the tax bill means that number will soon go up.
The number represents spending that lawmakers can’t cut. Whether the debt holders are foreigners, or grandma’s pension fund, the interest on those bonds has to be paid. Not paying it means the U.S. would default on its debt, which would roil the financial markets. Meanwhile, the money budgeted to pay interest on the debt means it can’t go elsewhere: Democrats can’t spend it on free college or more health care, Republicans can’t use it to ramp up defense spending. Adding to the burden of the debt: interest rates, which have been historically low for years, but are now going up—and may continue to rise for some time.
Fareed Zakaria explained the problem succinctly.
The federal deficit is alarming and is quickly getting out of control. During Obama’s time in office the national debt virtually doubled. Regardless of whose fault that may be, and regardless if you feel the spending was necessary, it is clear that there is no end in sight. Now that Republicans are in control, and the deficit is increasing, there is little hope that it will EVER be reduced!