Elon Musk, the richest man in the world who contributed millions of dollars to assist Donald Trump win the presidency. On Tuesday he was appointed to a position geared at improving government efficiency.
Kolkata: US President-elect Donald Trump announced the creation of a new advisory group the Department of Government Efficiency (DOGE). Elon Musk, a tech billionaire, and Vivek Ramaswamy, a biotech entrepreneur and previous presidential contender, will lead the Department of Government Efficiency (DOGE).
The two “will pave the way for my Administration to dismantle Government Bureaucracy, slash excess regulations, cut wasteful expenditures, and restructure Federal Agencies,” Trump said Tuesday in a statement.
Trump described DOGE as potentially “the Manhattan Project of our time,” noting that Republican leaders have long aspired to such an initiative.
According to Trump, the advisory group would work with the White House and the Office of Management and Budget (OMB) to eliminate governmental inefficiencies and advance a “entrepreneurial approach to government never seen before”.
Trump indicated that Musk and Ramaswamy’s roles would be informal, without requiring Senate approval, and that Musk would continue to lead the electric car company Tesla (TSLA.O), the social media platform X, and the rocket company SpaceX. He also said the new department will “provide advice and guidance from outside of government,” fulfilling long-held Republican dreams.
Trump said that DOGE will drive “large-scale structural reform” within federal operations. However, it was not immediately clear whether DOGE will function as an official part of the Trump administration or operate independently as an external advisory group.
In Trump’s statement, Musk was quoted as saying that DOGE “will send shockwaves through the system and anyone involved in government waste, which is a lot of people!”
Trump underscored the group’s mission, saying that “we will drive out the massive waste and fraud that exists throughout our annual $6.5 trillion of government spending.”
Trump added that DOGE’s work is expected to conclude by July 4, 2026, in time for the nation’s 250th anniversary of the signing of the Declaration of Independence.
With several connections to Washington, Musk made public appearances with Trump and donated millions of dollars to his presidential campaign.
The market value of Musk’s enterprises and preferred industries like cryptocurrency and artificial intelligence may increase if he were to add a government portfolio to his portfolio.
Wedbush Securities’ equities analyst Daniel Ives stated in a research note that “it’s clear that Musk will have a massive role in the Trump White House with his increasing reach clearly across many federal agencies.” “We believe the major benefits for Musk and Tesla far outweigh any negatives as this continues to be a ‘poker move for the ages’ by Musk betting on Trump,” Ives stated.
Public Citizen, a progressive consumer rights organization that opposed a number of Trump’s first-term measures, slammed the action. In a statement, Lisa Gilbert, co-president of Public Citizen, said, “Musk not only has no knowledge of government efficiency and regulation, but his own businesses have frequently violated the very regulations he will be able to attack in his new ‘czar’ position.” “This is the ultimate corporate corruption.”
Musk pledged transparency, while Trump compared the efficiency effort to the Manhattan Project, the American endeavour to create the atomic bomb that contributed to the end of World War Two.
In an X post, Musk stated, “All actions of the Department of Government Efficiency will be posted online for maximum transparency,” and he asked people to share their recommendations.
Additionally, we’ll have a ranking for the most ridiculously foolish uses of your taxes. “This will be incredibly entertaining and tragic at the same time,” Musk stated.
Musk claimed that the federal budget could be cut by “at least” $2 trillion during a Trump rally in October at Madison Square Garden. The Congressional Budget Office estimates that discretionary spending, including defence spending, will account for $1.9 trillion of the $6.75 trillion in total federal outlays for fiscal 2024.
“The Department of Government Efficiency is going to address the waste of your money. At the gathering, Musk declared, “We’re going to get the government off your back and out of your pocketbook.”
The new department’s acronym, DOGE, also alludes to the name of the cryptocurrency that Musk advocates, dogecoin.
The federal complaint that accused Musk and Tesla of defrauding investors by promoting dogecoin and engaging in insider trading, resulting in billions of dollars in losses. It was dismissed in August.
Due to the assumption of a more lenient regulatory environment under a Trump administration, Dogecoin has more than doubled since Election Day, following a spike in cryptocurrency markets. Although Tesla shares are up almost 30% since the election, they dropped on Wall Street prior to the news.
Founder of a pharmaceutical company, Ramaswamy ran against Trump for the Republican presidential nomination, but after withdrawing, he threw his support behind the former president.
In his 2021 best-selling book “Woke, Inc.,” Ramaswamy criticized some large corporations for basing their business strategies on social justice and climate change reform.
