Fact Check: Trump's proposed bill will increase America's deficit and harm the poorest.

Fact Check: "Trump's proposed bill will increase America's deficit and harm the poorest."

What We Know

The claim that Trump's proposed bill will increase America's deficit and harm the poorest is supported by various analyses and reports. According to the Congressional Budget Office (CBO), the bill, often referred to as the "One Big Beautiful Bill," is projected to add approximately $3 trillion to the national debt when accounting for debt service costs. This analysis indicates that the bill does not effectively reduce the deficit as claimed by its proponents.

Moreover, the CBO's analysis also highlights that the bill disproportionately affects low-income families. Households in the lowest income decile, earning $23,000 or less, are expected to lose about $1,600 annually due to cuts in Medicaid and nutrition assistance, which represents nearly 4% of their total income (source-2). In contrast, families making over $700,000 a year are projected to receive significant tax breaks, further exacerbating income inequality (source-2).

On the other hand, supporters of the bill, including the Council of Economic Advisers (CEA), argue that the proposed policies will lead to economic growth and ultimately reduce the debt-to-GDP ratio to 94% by 2034, compared to a projected 117% under current law. They claim that the bill will cut the total deficit nearly in half by 2034, saving the country $1.1 trillion (source-1).

Analysis

The evidence surrounding the claim is mixed. The CBO's findings provide a credible basis for the assertion that the bill will increase the deficit and harm low-income families. The non-partisan nature of the CBO lends reliability to its analysis, which indicates that working families will experience a net loss in resources while the ultra-rich benefit significantly from tax cuts (source-2, source-4).

Conversely, the CEA's analysis presents a contrasting viewpoint, emphasizing potential economic growth and deficit reduction. However, the CEA is a government body that may be perceived as having a pro-administration bias, which could affect the objectivity of its claims (source-1). The CEA's projections rely heavily on assumptions about economic growth that may not materialize as expected.

Additionally, other sources, such as The Guardian and CNN, corroborate the CBO's findings, indicating that the bill will indeed have harsh effects on the poorest Americans, further reinforcing the claim's validity.

Conclusion

The claim that Trump's proposed bill will increase America's deficit and harm the poorest is Partially True. While there is substantial evidence from the CBO indicating that the bill will increase the national debt and adversely affect low-income families, proponents argue that it could lead to economic growth and reduced deficits in the long term. The conflicting analyses highlight the complexity of the issue, suggesting that while the bill may have some potential benefits, its immediate impacts on the poorest Americans and the national deficit are concerning.

Fact Check: Trump's proposed bill will increase America's deficit and harm the poorest.