No one is likely to be happy with the projected higher deficits laid out in a new analysis of Kamala Harris’ and Donald Trump’s economic plans.
The analysis released Monday by the nonpartisan Committee for a Responsible Federal Budget suggests a Harris presidency could increase the national debt over 10 years by $3.5 trillion. That’s even though the vice president’s campaign insists her proposed investments in the middle class and housing would be fully offset by higher taxes on corporations and the wealthy. Her campaign policy guide states that Harris is “committed to fiscal responsibility — making investments that will support our economy, while paying for them and reducing the deficit at the same time.”
The same analysis says former President Trump’s ideas could heap another $7.5 trillion onto the debt and possibly as much as $15.2 trillion. That’s even though he suggests growth would be so strong under his watch that no one would need to worry about deficits.
Bluntly, neither of them are willing to do the thing necessary to balance the budget, or decrease the national debt, which is raise taxes back to the level they were at before Nixon took office. There’s not a quick and easy solution to any of this, but the top marginal tax rates are ridiculously low, and we’ve made is easy and cheap to outsource production.
When you’re already spending less than the minimum needed to keep a country running effectively, you can’t simply cut your way out of debt; you need to increase revenues, and that means taxation. The smartest taxes are progressive; they’re taxes on wealth and on income, taxes that affect the poor and the rich proportionately, which is to say progressively. Flat taxes, sales taxes, etc., are inherently regressive, affecting the poor disproportionately, and are thus less effective at increasing tax revenues.