Elon Musk says America is inching towards bankruptcy

Washington DC: Appointed as the lead of the new Department of Government Efficiency (DOGE) in the upcoming Republican administration in the US, under President-elect Donald Trump, multi-billionaire Elon Musk claimed that America is nearing the edge of bankruptcy. Musk and former Republican presidential candidate Vivek Ramaswamy are to head the DOGE, which holds the objective of finding ways of saving taxpayers' money, NDTV reported.

On X, Musk wrote, "America is currently headed for bankruptcy super fast.”

He wrote so as a response to a post by the DOGE, which stated that the US Government spent USD 6.16. trillion while only bringing in USD 4.47 trillion in 2023. It said that the trend must be reversed and the budget is balanced.

Formation of DOGE was among Trump’s election campaign promises, which intends to dismantle the government bureaucracy and cut wasteful spending. Earlier this year, Trump proposed the idea of using Bitcoin to “pay off” 35 trillion USD in debts.

Forbes reported that the US national debt crossed the USD 34 trillion mark when 20234 dawned. The amount was largely due to COVID-19 and lockdown, which resulted in spiralling inflation, forcing the Federal Reserve to increase interest rates.

Following Republicans ‘Trifacta’ of victories in the US, Musk wrote on X, “Excess government spending is driving America into bankruptcy,” and added, “This debt growth is unsustainable.”

Investopedia describes Bitcoin as a decentralized digital currency that operates without a financial system or government agencies.

The DOGE department has its name linked to the 2013 famous Shiba Inu dog meme and the dogecoin cryptocurrency. Musk had said that Dogecoin is his favourite cryptocurrency, and he accepted it as payment for his car company, Tesla.

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