Trump Proposes Musk to Lead Government Efficiency Commission If Elected, Reports Reuters

By Helen Coster and Gram Slattery

NEW YORK – Republican presidential candidate Donald Trump announced on Thursday that he would create a government efficiency commission led by billionaire supporter Elon Musk if he wins the upcoming election. This announcement came during a speech at the New York Economic Club, where Trump presented his economic vision for the nation.

In his address, the former president pledged to cut corporate tax rates for companies that manufacture within the U.S., create "low-tax" zones on federal land to encourage new home construction, and establish a sovereign wealth fund.

Trump had been discussing the concept of an efficiency commission with his aides in the weeks leading up to the speech, marking this as the first time he publicly endorsed the initiative and confirmed Musk’s role as the head of the commission. While he didn’t provide specifics on the commission’s operations, he stated that it would focus on eliminating "fraud and improper payments" within six months of its establishment.

"I will create a government efficiency commission tasked with conducting a complete financial and performance audit of the entire federal government," Trump declared to an audience that included his former Treasury Secretary Steve Mnuchin and financiers Scott Bessent and John Paulson.

Musk previously expressed interest in the commission on a podcast, indicating he would be willing to serve without any compensation or title. Trump’s proposal received criticism from Everett Kelley, president of the American Federation of Government Employees, who accused Trump and Musk of seeking to dismantle the nonpartisan civil service and replace workers with allies.

Kelley remarked, "There’s nothing efficient about that."

Commenting on Musk’s involvement, Paulson remarked it was beneficial to have Musk as an ally, noting his business acumen could significantly improve government efficiency.

CORPORATE TAX CUTS AND HOUSING INITIATIVES

During his speech, Trump reiterated his plan to reduce the corporate tax rate from 21% to 15%, specifically for domestic manufacturers. He also aimed to open federal land for housing development, promising these new areas would have "low-tax" and "low-regulation" conditions, although he did not elaborate further.

While Trump had previously proposed a 15% corporate tax rate, this was the first time he connected it to domestic manufacturing.

Additionally, Trump called for the establishment of a sovereign wealth fund to finance major infrastructure projects, alongside plans to revoke unspent funds from the 2022 Inflation Reduction Act. He further stated he would "issue a national emergency declaration" to facilitate energy projects by streamlining bureaucratic processes.

In what some may view as a controversial move, Trump proposed banning mortgages for undocumented migrants in California, asserting they contribute to increased housing costs without providing specific enforcement details.

His approach to housing affordability starkly contrasts with that of Vice President Kamala Harris, the Democratic nominee, who proposes a $25,000 credit for first-time homebuyers. Critics of Harris’s plan argue it could inadvertently inflate housing prices, while Trump’s federal land development idea may face backlash from environmentalists and raises questions about housing demand in rural areas.

When asked about his stance on economic sanctions against other countries, Trump indicated he would apply them judiciously to preserve the dollar’s status as the global reserve currency, diverging from his more aggressive stance during his previous administration.

Harris’s policy adviser stated that Trump’s economic plans could lead to increased national debt, higher inflation, and job losses.

Recent surveys indicate that while Trump is still viewed as a competent steward of the economy by many voters, his lead over Harris is diminishing. In July, he held an 11-point advantage on economic matters, which shrank to a 3-point lead by August, according to polling.

Economists are skeptical about the positive impact of Trump’s proposed policies, suggesting they may hinder economic growth and elevate inflation. For Trump to implement his agenda effectively, Republicans would need to maintain control of the House and gain the Senate from the Democrats.