Billionaire Elon Musk has raised concerns over the United States’ mounting fiscal crisis, warning that excessive government spending could lead to bankruptcy.
Speaking on Fox News’ Hannity, Musk stressed the need for aggressive cost-cutting measures led by the Department of Government Efficiency (DOGE), a group focused on reducing federal expenditure. Musk’s remarks come amid a growing debate over the US national debt, which now exceeds $34 trillion.
With annual interest payments on the debt surpassing military spending, the entrepreneur argues that eliminating waste and fraud is critical to avoiding financial collapse. His stance has drawn both support and criticism, as some view DOGE’s initiatives as necessary while others see them as politically charged.
Musk: “The ship of America is sinking”
Musk’s comments highlighted the urgency of addressing the nation’s fiscal trajectory. According to him, excessive government expenditure has resulted in a $2 trillion annual deficit, largely due to inefficient spending and mismanagement.
“The government waste and fraud is so high that it is causing a $2 trillion annual deficit, so that’s 2,000 billion dollars of waste and fraud that’s happening,” Musk stated, according to Fox News. “The cost of our debt has gotten so high that just the interest payments on the debt exceed the entire military budget, and it was just growing out of control.”
He likened the national economy to an individual’s finances, explaining that reckless spending would inevitably lead to insolvency. “The country is going bankrupt. A country is no different from a person. If a country overspends and doesn’t spend wisely, just like a person, a country will go bankrupt,” he explained. ” he warned.
Musk urged business leaders and wealthy individuals to support DOGE’s cost-cutting initiatives, arguing that economic collapse would affect all sectors. “Your company is not going to exist if the ship of America sinks,” he said.
Tesla targeted amid protests against DOGE
Musk’s involvement with DOGE has provoked backlash, leading to protests and acts of vandalism targeting Tesla facilities. Critics of the cost-cutting initiative argue that it disproportionately affects social welfare programmes, while supporters insist it is necessary to stabilise government finances.
In one notable incident, a Tesla service centre in Las Vegas was attacked early Tuesday morning. According to FBI investigators, multiple vehicles were set on fire, damaging at least five. While authorities have not yet confirmed a motive, they stated that the attack bore “hallmarks” of a domestic terrorist act.
Musk responded to the violence via his platform X, calling it “deeply wrong.” “Tesla just makes electric cars and has done nothing to deserve these evil attacks,” he wrote.
The federal deficit remains a pressing issue, with government spending on Social Security, Medicare, and debt servicing increasing annually. Whether DOGE’s measures will have a significant impact on the budget remains a contentious debate in Washington.
