Billionaire Elon Musk and former Republican presidential candidate Vivek Ramaswamy have set their sights on curbing federal expenditure, leveraging the Republican dominance in both chambers of Congress.

What Happened: According to a report, the duo’s Department of Government Efficiency (DOGE) aims to reduce spending by a whopping $2 trillion.

The Republican majority in Congress, which allows for budget reconciliation, makes this ambitious target more attainable by sidestepping the usual filibuster rules.

Business Insider reports that the Department of Government Efficiency is not a government entity. Major alterations to the federal budget will likely necessitate legislative intervention. Nevertheless, Musk and Ramaswamy are in a strong position to recommend significant reductions in federal spending.

David Walker, a fiscal watchdog who headed the Government Accountability Office from 1998 to 2008, told the outlet about the limitations on what can and cannot be done, underlining the difficulties previous presidents have encountered in managing federal spending.

“There are a lot more restrictions on what you can and can’t do. There’s a lot of cultural barriers,” he said.

The efforts by Musk and Ramaswamy could surpass prior attempts. Any proposals endorsed by Trump would have a higher likelihood of gaining Congressional approval due to Republican control.

Also Read: Elon Musk, Vivek Ramaswamy-Led Department Of Government Efficiency Opens Account On X

Thomas Schatz, the president of Citizens Against Government Waste, believes this government-efficiency initiative “can be set up faster.”

Musk has previously expressed his disapproval of the Securities and Exchange Commission and proposed incentives for government employees who demonstrate fiscal prudence.

Ramaswamy has suggested a thought experiment to downsize the federal workforce. Veronique de Rugy, an economist at the libertarian think tank Mercatus Center, believes that Musk and Ramaswamy could achieve $2 trillion in savings through radical reforms.

Why It Matters: This development is significant in the context of ongoing debates about federal spending and debt.

The ambitious plan by Musk and Ramaswamy, if successful, could set a precedent for future administrations and potentially reshape the landscape of government spending.

Their unique approach, coupled with the current political climate, may provide the necessary momentum to drive significant changes in federal expenditure.

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This content was partially produced with the help of Benzinga Neuro and was reviewed and published by Benzinga editors.