"GOP tax cuts are a national security threat" The Hill
Republicans have labeled the rising national debt a dire threat to national security. Indeed, an ever-increasing federal debt constrains future defense budgets and severely limits the government’s ability to respond to future conflicts or economic crises. Moreover, China is the single largest foreign holder of U.S. debt.
Ironically, however, virtually every one of the GOP voices now citing the national debt as a major national security threat voted for the 2017 tax cut, which is forecast to balloon the debt. Nearly two years following the passage of the tax law, its dramatic effects are coming into focus.
Normally, in a reasonably strong economy, the government collects more tax dollars year-over-year. In short, economic growth and a larger pool of taxpayers from the previous year generate higher tax receipts.
As a direct result of the GOP tax cut, however, 2018 was the first year that tax revenues actually declined in a relatively strong economy. When accounting for inflation, this unprecedented drop in revenues is even starker. But it gets worse. The actual decline in tax receipts was partially hidden by a surge in government revenues – amounting to the largest tax increase in decades – due to the Trump administration’s ongoing trade wars. To put all of this into perspective, the last time that the unemployment rate was as low as it is today, federal revenues increased by a whopping 22 percent over the previous year.
It should come as little surprise, then, that nonpartisan sources have forecast trillions of dollars in debt over the next decade due to the 2017 GOP tax cut. Despite the Republican mantra that “spending is the problem,” these forecasts account for modest spending scenarios.
All told, the 2017 GOP tax law is a fiscal disaster with clear implications for national security. Moreover, the tax cuts did not “pay for themselves,” as the Trump administration repeatedly promised. Spending, meanwhile, spiraled out of control, despite Republican control of the White House and both chambers of Congress...."