In a recent Wall Street Journal op-ed, Sen. Ron Johnson sounded the alarm on federal spending, which has skyrocketed to unsustainable levels, threatening the nation’s economic future and burdening Americans with more inflation and a higher cost of living. Johnson’s analysis not only highlights the staggering rise in the national debt—from $5.5 trillion in 1998 to over $36 trillion today—but also offers a commonsense framework to regain control. This roadmap provides a critical opportunity for former President Trump to take federal spending seriously in a potential second term.
Federal outlays exploded during the pandemic, jumping from $4.4 trillion in 2019 to $6.6 trillion in 2020. Over $5.2 trillion was allocated for COVID-19 relief, much of it marred by inefficiency and fraud. Programs like the Paycheck Protection Program, designed to support small businesses, became a case study in unchecked spending, with loans handed out indiscriminately and eventually forgiven, regardless of financial need. There was significant fraud in these programs as well. These missteps, Johnson argues, fueled a 40-year high in inflation, reducing the value of the dollar to just 81.8 cents of its January 2020 worth.
While extraordinary circumstances justified emergency measures, Johnson points out that pandemic-level spending has now become the baseline. Federal budgets have remained above $6 trillion annually, with President Biden proposing a $7.3 trillion budget for fiscal 2025—a 63% increase from 2019, despite a population growth of only 2.2%.
Johnson’s op-ed proposes reintroducing fiscal sanity by using budget benchmarks from years of more restrained spending, such as 1998, 2014, or 2019. Setting the 2025 budget at the 1998 baseline would cap spending at $5.5 trillion, balancing the budget and aligning with projected revenues. Even using the 2019 baseline would result in a $6.5 trillion budget, substantially reducing deficits compared to Biden’s proposal.
For Trump, Johnson’s framework offers a chance to align his economic agenda with long-term fiscal stability. While Trump’s first term saw significant tax cuts, spending reductions did not follow, leaving room for improvement. By adopting Johnson’s principles, Trump could address the debt crisis and reinforce his commitment to responsible governance.
Johnson’s op-ed underscores the urgency of addressing federal spending before it further undermines the nation’s economic health. Speaker Johnson and Majority Leader Thune will be leading their respective caucuses, and as Johnson lays out, they need to lead with disciplined budgeting and take advantage of their majorities, as these are not guaranteed in the next Congress.
For Trump, this is a moment to step forward and take the reins of fiscal responsibility, ensuring America’s financial stability for years to come—something he did not accomplish during his first term.
