Trump’s Potential Treasury Pick Vows Spending Cuts in Partnership With Musk

John Paulson on set of "The Claman Countdown" at Fox Business Network Studios in New York on Sept. 17, 2024. Rob Kim/Getty Images

Billionaire John Paulson said he would work with Elon Musk to cut federal spending, particularly by reducing green energy subsidies, if appointed Treasury Secretary under Trump’s administration.

Paulson shared these comments during a Tuesday interview with The Wall Street Journal. “All of these tax subsidies for solar, for wind, inefficient, uneconomic energy sources. Eliminate that. That brings down spending,” he told the media outlet.

He specifically mentioned targeting green energy subsidies in the Inflation Reduction Act, which he referred to as the “Green New Deal.”

A staunch Trump ally and major donor to his 2016, 2020, and 2024 campaigns, Paulson is also a trustee of the conservative Manhattan Institute, chaired by fellow Wall Street executive Paul Singer. Trump has named Paulson a possible Treasury Secretary if he wins the 2024 election.

Paulson’s stance mirrors Musk’s, who claimed he could slash at least $2 trillion from the federal budget.

“Your money is being wasted,” Musk said at a Trump rally on Oct. 27 at New York’s Madison Square Garden. “We’re going to get the government off your back and out of your pocketbook.”

The $2 trillion target amounts to nearly a third of current spending, with the federal government spending $6.75 trillion in fiscal year 2024, according to the Treasury Department.

Trump mentioned that he asked Musk to lead the newly proposed Department of Government Efficiency (DOGE) aimed at auditing U.S. federal agencies. Musk replied on X, saying, “I can’t wait. There is a lot of waste and needless regulation in government that needs to go.”

Neither Trump nor Musk has provided details on the specific programs they would cut.

Musk, like Paulson, is a prominent Trump supporter, campaigning with him, donating nearly $120 million to a pro-Trump super PAC, and pledging $1 million to voters who support free speech and gun rights. On Monday, Philadelphia’s district attorney asked a state judge to block Musk’s $1 million giveaway, calling it an “illegal lottery scheme.”

The Treasury Secretary manages federal finances and tax laws, often engaging with Wall Street, business leaders, and foreign dignitaries.

Paulson is among several candidates being considered for the role, alongside Scott Bessent, founder of Key Square Group and a Trump ally on Wall Street, former trade ambassador Robert Lighthizer, and former SEC Chairman Jay Clayton.

Paulson said that if nominated, he would not anticipate pushback from the Senate.

“I have good relationships with senators on both sides of the aisle. The review process is a rigorous process. That’s a hurdle that would have to be crossed before we get to the Senate. I think once we cross that review process, I wouldn’t expect opposition,” he told The Wall Street Journal.

The economy stands as the top issue for voters in the 2024 presidential election. A Gallup poll found it is the only topic over 50 percent of registered voters rated as “extremely important” in shaping their decision.

With less than one week until Election Day, polls report a close race between Vice President Kamala Harris and former President Donald Trump in seven key battleground states, with Trump holding a slight national lead, according to RealClearPolitics.

From NTD News