316. Special Edition: Federal Policy Guide | This Week's Economy Ep. 88

How Federal Policymakers Can Let People Prosper

Hello Friends!

With the election over, it’s time to get to work. The newly elected Trump administration will take office in January, and Congress will reconvene. They must tackle the many challenges America faces. I propose a federal policy agenda for our nation’s leaders in this special edition of This Week's Economy show. I propose three solutions that will let people prosper. To show my appreciation for you, Substack subscribers can download my complimentary Let People Prosper Policy Agenda. Watch this week’s episode on YouTube below, listen to it on Apple Podcast or Spotify, and visit my website for more information.

---

LESS SPENDING

Situation:

The U.S. is facing a fiscal crisis. The national debt of $36 trillion is projected to increase by another $20 trillion over the next decade. This growing debt is driving inflation, eroding purchasing power for families, and creating economic uncertainty for both businesses and households. Excessive government spending is fueling inflation, increasing pressure for future tax hikes, and distorting market dynamics, undermining long-term economic growth.

My Proposals:

• Trump Administration Action: The Trump White House should propose a budget that significantly reduces federal spending and prioritizes long-term fiscal stability. By implementing a priority-based budgeting process, funds can be redirected to the most critical needs, making cuts that preserve essential services while ensuring efficiency.

• Pressure Congress: President Trump can leverage his platform to advocate for fiscal discipline in Washington. Additionally, creating a task force—modeled after the proposed Department of Government Efficiency—can bring private-sector leaders together to identify areas of waste and inefficiency, helping to reduce unnecessary government spending.

• Congressional Action: Congress should pass a balanced budget prioritizing spending cuts over tax hikes. The budget should include firm spending limits, prioritize funding for essential programs, and transition some federal programs to block grants to encourage local control and efficiency.

Related:

---

PROMOTE PROSPERITY

Situation:

Americans face growing financial pressure due to stagnant inflation-adjusted wages and historically low savings. Rising costs are straining household budgets nationwide. While government spending isn't the direct cause of inflation, the Federal Reserve's debt purchases have contributed significantly to rising prices.

My Proposals:

• Solutions to Economic Challenges: A pro-growth economic strategy requires more than tax cuts or short-term fixes. It demands a disciplined approach to federal spending, a commitment to free trade, and a regulatory environment that empowers businesses rather than hinders them. By focusing on these pillars, lawmakers can address inflation, foster sustainable growth, and create a more prosperous future for all Americans.

• Trump Administration Actions: The Trump White House should push Congress to curb excessive spending and encourage the Federal Reserve to reduce its balance sheet. To promote market clarity and efficiency, the administration should work to remove price controls, antitrust overreach, protectionist policies, and other regulations that restrict market forces.

• Congressional Priorities: As Congress works to cut spending and adopt sustainable budgeting practices, it must also expand tax cuts. A top priority should be extending the 2017 Tax Cuts and Jobs Act, which is set to expire soon. In addition, Congress must promote free markets and implement regulatory relief to reduce hidden costs for American consumers.

Related:

---

PRESERVE LIBERTY

Situation

Government overreach drives up costs, limits choices, and lowers quality in critical sectors such as healthcare and energy. A solution is needed to empower individuals, reduce expenses, and improve service quality.

My Take:

• A Great Opportunity: The Trump administration and Congress have a unique opportunity to create a more dynamic economy by supporting pro-growth, limited government policies. Reducing regulation, empowering individuals, and devolving control to states will strengthen the economy, protect individual liberty, and ensure access to affordable, high-quality services.

• Game Plan for Trump: Americans rely on many government programs that often take a one-size-fits-all approach. Instead, President Trump should advocate for decentralization in healthcare, education, transportation, and energy. This can be achieved by shifting more power to the states and individuals, allowing for more tailored, efficient solutions. For example, empowering states to innovate with Medicaid and other programs through federal waivers and block grants would give them greater flexibility. Reducing regulatory burdens in key sectors will also promote competition and lower costs.

• Promoting Limited Government: Fiscal discipline drives sustainable growth and encourages private sector solutions over costly public spending. Congress should also shift health spending away from employers and toward individuals by strengthening Health Savings Accounts (HSAs) and transitioning tax benefits to give patients more control over their healthcare decisions. Remove regulations, tax breaks, and subsidies in the energy market so there is an all-of-the-above strategy without picking winners and losers by governments.

Related:

---

Don’t forget to get your complimentary guide on all these policies and more.

Thanks for joining me in this episode of "This Week's Economy." For more insights, visit vanceginn.com and get a paid subscription to my Substack newsletter at vanceginn.substack.com today so you receive these insights in your inbox. God bless you, and let people prosper.