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Economist: Trump's Proposed Budget Would Leave DC Area "Pretty Screwed" - Source Washingtonian

Posted on Mar 14,2017
Filed Under Local Politics , Politics,

Source Washingtonian

By Benjamin Freed

The federal budget the White House plans to propose this week is expected to make deep cuts to domestic government programs in order to pay for a vast military and homeland-security buildup. If the draft budget reported by the Washington Post is adopted word-for-word, tens of billions of dollars would flow to defense spending and construction on a wall along the US-Mexico border, but departments and agencies throughout the rest of the government would be slashed to ribbons.

President Trump's ideal budget would have him overseeing the biggest reduction in the size of the federal workforce in more than 70 years. And cutting $58 billion from non-defense discretionary spending will likely have debilitating impacts on the Washington area. According to the Post, Trump’s planned cuts could reduce employment and home values in the DC metropolitan area by nearly 2 percent each, and incomes by 3.5 percent.

While a President who campaigned on a “drain-the-swamp” mentality that casts everyone in Washington as complicit in making the United States not great might sneer at worries of those kinds of economic hits, they’re enough to trigger a region-wide recession, says Josh Bivens, the director of research at the Economic Policy Institute.

Source Washingtonian

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