$BTC $3 TRILLION DEFICIT CUT? CBO Weighs Impact of Trump Tariffs 🚨
The Congressional Budget Office just dropped a fiscal bombshell. According to its latest estimates, proposed Trump-era tariffs could slash the U.S. deficit by roughly $3 trillion over the next decade, through 2036. That’s a massive revenue boost flowing straight into federal coffers.
But there’s a catch. The CBO warns those same tariffs could slow economic growth and push consumer prices higher. Inflation is projected to rise between 2026 and 2029, potentially offsetting part of the fiscal gains. In other words: stronger government balance sheets, but tighter pressure on households and businesses.
This sets up a high-stakes tradeoff-deficit reduction vs. economic momentum.
Will markets focus on the fiscal boost… or the inflation risk?
