President Donald Trump's latest cash promise to Americans is unlikely to come to fruition, just like others before it, an economist and former congressional budget hawk told Fox News Digital. "So the president has promised a lot of checks, the most recent being $5,000 to every American if Republicans hold on to the House and Senate. We ever going to see these?
Well, I don't think so," said Douglas Holz-Eakin, president of fiscal policy think tank American Action Forum. Holz-Eakin previously served as the director of the Congressional Budget Office, and as the director of domestic and economic policy for late Republican Sen. John McCain's 2008 presidential campaign.
TRUMP DEFENDS $5,000 DIVIDEND PROPOSAL, PRAISES 'BEAUTIFUL' TARIFFS ON 'INGRAHAM ANGLE' "The DOGE checks were never realistic because DOGE was never going to save that much money," said Holz-Eakin in reference to the Elon Musk-led Department of Government Efficiency's sweeping layoffs and budget cuts to federal agencies. He continued: "And the tariff checks were never that realistic because [Trump] didn't have the authority to issue the checks, and that's actually true of all of these promises." Holz-Eakin also mentioned the Trump administration's recently-proposed plan to give $9,000 checks to stay-at-home-mothers likely won't come through either. "Trying to get money to stay at home moms for childcare, there's a route to that, but it's gonna be tough ... we'll see if they actually pull it off," he said.
"So, I would be skeptical that any of these checks are gonna be in your mailbox very soon." The internationally-known economist likened the Trump administration's fiscal policy to that of former President Joe Biden's Democratic administration. "I think we've seen two successive administrations get themselves in the following position: inflation is too high and wages aren't keeping up with it. Well, that's failing at the American dream," Holz-Eakin explained.
THE FED JUST THREW A WRENCH IN TRUMP'S MIDTERM ECONOMIC MESSAGE He said that getting inflation under control was the first step in restoring order, as well as being "utterly supportive" of the Federal Reserve, which Holz-Eatin says is working to achieve that goal. The Fed hiked interest rates Wednesday for the first time in three years, and signaled that more rate increases could be coming. This comes despite Trump's push to have the world's most powerful central bank lower interest rates to lessen the monthly burden on American's seeking home and auto loans.
"Inflation remains elevated," the Federal Open Market Committee said in a post-meeting statement. "Today’s policy action will support a timelier return to the Committee’s 2 percent goal. The Committee will deliver price stability." "You need to have, I think, a more vibrant economy, and this economy is doing okay, but it's putting up with a lot of headwinds," said Holz-Eatin.
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