Trump Administration Launches DOGE to Cut Spending
NYT: "29,000 Cuts Mostly False"
"Major Items Untouched... Foreign Aid Hit"
Reports have emerged that the U.S. Government Efficiency Department (DOGE), which was led by Elon Musk, CEO of Tesla, ultimately failed to reduce government spending. On December 23 (local time), The New York Times (NYT) reported, "DOGE claims to have cut 29,000 federal government expenditures, but in reality, spending not only failed to decrease but actually increased."
Elon Musk, CEO of Tesla, led the U.S. Government Efficiency Department (DOGE), but reports have revealed that it actually failed to reduce government spending.
The NYT assessed, "Most of the items DOGE claimed to have cut were found to be false, and the small amount that was actually reduced primarily impacted foreign aid recipients, U.S. small businesses, and local service providers."
According to the list of 'canceled contracts and grants' released by DOGE, all of the 13 largest items turned out to be false. In particular, DOGE claimed to have saved 7.8 billion dollars by terminating the Department of Defense's IT contracts and aircraft maintenance agreements, but these contracts are still ongoing, and the supposed savings were merely an accounting illusion. If these contracts had actually been terminated, the amount saved would have exceeded the total for all 25,000 cases disclosed by DOGE.
Of the 40 cases DOGE claimed as its largest savings, only 12 were found to have actually been reduced. Most entries were excessively reported through double counting, classification errors, or exaggeration, and it was pointed out that these are "accounting errors not permitted in private companies." According to the NYT, some items had already been terminated under the previous Biden administration or simply expired at the end of their contract period but were recorded by DOGE as if DOGE had ended them.
In fact, from the outset of DOGE's launch, it was pointed out that the authority to cut the federal budget lies with Congress. The NYT noted, "Since DOGE was established, Congress has passed only one law to actually cut the budget, which reduced foreign aid and eliminated public broadcasting," adding, "The largest and fastest-growing items in the federal budget-such as healthcare, social security, and interest on federal debt-were not touched at all."
President Donald Trump established DOGE last January as part of a federal government restructuring effort and appointed Musk, then one of his closest aides, as its head. Musk led DOGE as a Special Government Employee (SGE) under the Trump administration, spearheading efforts to downsize federal agencies, lay off public officials, and cut budgets. However, after reaching the maximum 130-day term for special government employees in May, Musk stepped down from his position as head of DOGE.
After leaving DOGE, Musk stated, "DOGE was somewhat successful in reducing government spending," but added, "If I could turn back time, I would not do it again." He went on to say, "Instead, I would have focused on my company work."
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