Stephen Miran, chair of the White House Council of Economic Advisors, expressed concerns Thursday regarding the potential economic consequences if President Trump’s domestic policy bill is not enacted by the deadline set by the White House.
During an interview with NewsNation’s Blake Burman on “The Hill,” Miran indicated that the U.S. might face a recession if Congress does not pass the “big, beautiful bill” by July 4.
Miran noted that markets, companies, and CEOs are currently confident in Congress’s ability to finalize the legislation, “but if that confidence starts to wane, it will affect the economy,” he warned. “If people start to think, ‘Hey, this thing is dragging on,’ we might have a $4 trillion tax hike. They delay investments, hiring, and postpone economic decisions.”
He added, “And that’s really bad, because then the economy slips into recession because they expect that tax hike.”
When questioned by Burman about whether he was forecasting a recession if the bill isn’t passed or the deadline is extended, Miran replied, “Oh, absolutely.”
“Look, you don’t implement the biggest tax hike in history because Congress fails to do its duty and then expect the economy not to go into a recession,” he continued.
Miran emphasized that “millions of people” could lose their jobs, and nine million could lose their health insurance if the “big, beautiful bill” fails or the deadline is postponed.
“It would be a disaster. And so, everyone knows the critical importance of getting this bill passed,” Miran concluded.
However, some economists argue that the Senate version of the bill may not fulfill its promises for economic growth and fiscal responsibility. Some tax experts suggest that tax-cut provisions intended to benefit working Americans will have minimal, if any, impact on growth. Considering all tax cut extensions, the bill could ultimately cost between $4 trillion and $5 trillion over 10 years.
The White House remains firm about passing Trump’s substantial reconciliation package by July 4.
— News Original —
Trump economic advisor warns of recession if ‘big, beautiful bill’ is delayed
Stephen Miran, chair of the White House Council of Economic Advisors, warned Thursday about the economic implications of not passing President Trump’s domestic policy bill by the deadline given by the White House.
While in discussion with NewsNation’s Blake Burman on “The Hill,” Miran suggested the U.S. could face a recession if Congress fails to pass the “big, beautiful bill” by July 4.
Markets, companies and CEOs are currently confident in Congress’s ability to get the legislation over the finish line, “but if that confidence starts to ebb, that will seep into the economy,” Miran warned. “If people start to think, ‘Hey, this thing is dragging on,’ we might have a $4 trillion tax hike. They hold off on investments, they hold off on hiring, they put off economic decisions.”
He continued, “And that’s really, really bad, because then the economy slips into recession because they expect that tax hike.”
When pressed by Burman on whether he was predicting there would be a recession if the bill isn’t passed or the deadline is pushed back, Miran responded, “Oh, absolutely.”
“Look, you don’t implement the biggest tax hike in history, because Congress fails to do its duty and then expect the economy not to go into a recession,” he continued.
Miran suggested that “millions of people” could lose their jobs, and nine million could lose their health insurance if the “big, beautiful bill” fails or the deadline is pushed back.
“It would be a disaster. And so, everybody knows the absolute imperative to get this bill over the line,” Miran added.
Some economists are suggesting the Senate version of the bill may not live up to its promises for economic growth and fiscal responsibility, however. Some tax experts say tax-cut provisions meant to aid working Americans will have little, if no, effect on growth. And with all tax cut extensions factored in, the bill could end up costing between $4 trillion and $5 trillion over 10 years.
The White House has been adamant about passing Trump’s massive reconciliation package by July 4.