Democrats and Republicans Agree to $2 Trillion Vote-Buying Infrastructure Bill

Mish

Trump, Speaker Pelosi, and Senate Minority Leader Schumer are in agreement on spending massive amounts of money.

Republicans and Democrats alike like to spend money. As is typically the case, the only disagreement is how to pay for it.

Please consider Democrats, Trump Agree to Aim for $2 Trillion Infrastructure Package

Democratic congressional leaders said President Trump agreed to aim for a $2 trillion infrastructure package in a White House meeting on Tuesday, though it remains unclear how they will seek to pay for it.

In unusually positive comments about negotiations with the president, House Speaker Nancy Pelosi (D., Calif.) and Senate Minority Leader Chuck Schumer (D., N.Y.) both praised the meeting as productive and said they had agreed to return in three weeks to hear Mr. Trump’s ideas about how to pay for an infrastructure bill.

Democrats disagree internally on how to generate revenue for an infrastructure plan. Mr. Schumer won’t consider a proposal to raise the gas tax, unless Mr. Trump agrees to undo some of the 2017 tax cuts, a person close to the minority leader said. Mr. Schumer, along with several other Democrats, say a gas tax disproportionately hurts poor and working-class people.

Other Democrats, like Transportation and Infrastructure Committee Chairman Peter DeFazio (D., Ore.), say they would support increasing the gas tax, which hasn’t been raised in over 25 years, to pay for infrastructure projects.

It is unlikely Republicans will agree to roll back the tax cuts, which Mr. Trump sees as a signature accomplishment. Should Democrats reach agreement in the House, any legislation that proposes raising taxes would be “categorically dead on arrival” in the Senate, a GOP leadership aide said.

Democrats acknowledge that collaborating with the president could give him a win on a major campaign promise as he runs for re-election and members of their party try to defeat him. An infrastructure bill could also help vulnerable Democrats who campaigned on fixing the nation’s roads and bridges and expanding broadband access to rural areas.

Both parties want to spend more money.

Gee, who coulda thunk?

Since they will not agree on raising taxes to cover it all, expect another huge jump in the deficit.

Mike "Mish" Shedlock

Comments (52)
No. 1-22
Quatloo
Quatloo

The only thing Democrats and Republicans both are consistently willing to do is to spend massive amounts of money we don't have

lol
lol

All of it borrowed/printed lol,that's a crap load of money printing,I always said chump would be the first president to"officially" run trillion dolla MONTHLY deficits.Even without this nonsense,el presidente will rack up as much red ink in 4 years as Barry did in 8.

Curious-Cat
Curious-Cat

"The American democracy will survive until Congress learns it can bribe the people with the people's money." - Alexis de Tocqueville in Democracy in America.

magoomba
magoomba

Whoopee. Trillions used to be billions. Now the dems will love Trump. This is enough moolah to grease every wheel, every graft, every union (or non-union), and leave some crumbs on the table for the poor. Let's hope the roads will connect and not leave too many bridges to nowhere. Pay for it? Don't be ridiculous!

Tengen
Tengen

The only silver lining to this buffoonery is that supporters of such spending are openly admitting that they think Cheney was right, that deficits really don't matter. They're past pretending to care about fiscal responsibility.

If that's the case, why limit ourselves to $2T on infrastructure? Why not round it up to 5 or even 10?

bradw2k
bradw2k

They both look like they won't be around long enough for the eventual monetary collapse. Although she does look embalmed already, so maybe we are stuck with her for eternity.

Realist
Realist

Looking at the two US political parties it appears that Democrats are "Tax and Spend" while Republicans are "Borrow and Spend". I guess the Republicans have the right guy as president; he likes to borrow lots and go bankrupt often. Good luck America.

Bam_Man
Bam_Man

The "Magic Money Tree" will provide all the funds necessary.

Sechel
Sechel

lots of projects need to get done like the gateway tunnel

Realist
Realist

Assuming that the two sides can agree on this infrastructure package, there will be a lot of funding for infrastructure that is currently being affected by climate change. Many states are already raising bridges that keep getting damaged or destroyed by increasing flood waters. Coastal cities like New Orleans and Miami are already spending lots to try to keep the ocean from flooding more land each year. I wonder how Trump will "spin" that, considering he says climate change is a hoax invented by the Chinese.

thimk
thimk

another boondoggle; maybe we can participate in the Chinese "belt and road " initiative . /s

ladros
ladros

I guess it is MMT all the way.

Casual_Observer
Casual_Observer

QEinfinity is on its way.

Ted R
Ted R

So much for Trump and his promises to cut spending/balance the budget/reduce the national debt.

Sechel
Sechel

we need infrastructure. the devil is in the details. will they spend money on gateway or pork. would love to see a true high speed rail between boston and DC(what we have now is a joke). A subway connection to la guardia would also generate a return. but good projects are faught against and what we get usually are ineffective spending

KidHorn
KidHorn

I hope they harden our electrical grid. The earths magnetic fields are weakening rapidly. If we get hit with a solar flare and the magnetosphere is weak, our grid could fry. Even if the weakening reverses, it will help protect against a bomb detonated in the stratosphere. A much more realistic threat than global warming.

Blurtman
Blurtman

We already have massive increases in the prices of homes, education, new autos, healthcare, .... But there is no inflation somehow.

JonSellers
JonSellers

Let's not be silly here. If anything tax cutting has done, its shown us that deficits don't matter. Nobody cared that tax cuts never paid for themselves. At least us middle-class nubes might get something out of this, like decent water or less time stuck in traffic.

RonJ
RonJ

"$2 Trillion Vote-Buying Infrastructure Bill"

That is the BIG money in politics.

Advancingtime
Advancingtime

Questioning the whole "Trump Economy" may seem in poor taste to those who have benefited so much but it is something we should do. What is being ignored is the structural issues that haunt America's competitiveness and far outweigh the benefits of lower taxes. We must also face the fact that deficit spending can only take the economy so far and carries with it a fair amount of negatives. The article below explores Trumponomics in all its glory and why this won't end well.

Webej
Webej

Wouldn't such investments pay for themselves?

How about the 102 million Americans that do not work ...

Brother
Brother

Trump has showed he is no conservative so at this point to stop impeachment his tactic is to throw(reward) money at congress. It works every time.


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