The Department of Government Efficiency (DOGE): A Transformative Opportunity
The proposed Department of Government Efficiency (DOGE), led by Elon Musk and Vivek Ramaswamy, has been tasked by President-Elect Trump to “dismantle government bureaucracy, slash excess regulations, cut wasteful expenditures, and restructure federal agencies.” However, DOGE also presents a rare opportunity to improve the health and wealth of the American people.
Addressing Mandatory Spending: A Path to Efficiency
While reducing the discretionary budget by $2 trillion would be a significant achievement, the focus should also include tackling mandatory entitlement spending on Social Security and Medicare to ensure their efficiency and solvency. According to the Committee for a Responsible Federal Budget, “The drivers of the growth in primary spending are Social Security and federal health care programs—namely Medicare.”
In FY2023, the federal government allocated $1.35 trillion to Social Security (22% of the budget) and $1.56 trillion to major health care programs, primarily Medicare and Medicaid (25% of the budget). Rather than cutting these programs, the objective should be to restructure them for greater effectiveness and sustainability.
Social Security Reform
Social Security accounted for 22% of the federal budget in 2023 and ran a $41 billion deficit, a trend expected to worsen. This deficit can be addressed by:
- Increasing contributions.
- Reducing benefits.
- Improving investment returns for trust funds.
While the first two options are challenging and unpopular, the third option offers a viable solution. By restructuring the system to yield higher returns, Social Security can overcome its deficits. Currently, trust funds are used to fund federal deficits at low interest rates. Instead, we should invest in higher-yield opportunities, allowing American citizens to benefit from the nation’s financial success.
Rather than privatizing Social Security, a new public fiduciary should manage its investments, ensuring superior returns while minimizing risk. This fiduciary would operate transparently, competing with firms like Vanguard and BlackRock, but solely for the benefit of the American people. Additionally, requiring federal legislators and senior officials to pool their investment and pension funds into this fiduciary would align their financial interests with those of the public.
Medicare and Public Health Reform
The second restructuring focus should be on improving Americans’ health to reduce “sick care” costs and improve life expectancy. Under the leadership of Robert F. Kennedy Jr., the Department of Health and Human Services (HHS) could implement policies promoting healthier lifestyles and preventive care.
Current health care spending emphasizes treating illness rather than preventing it. By promoting exercise, healthy eating, and supplements like Vitamin D, we can curb the escalating costs of health care and Medicare fraud. For instance, a healthier population could significantly reduce spending on disabilities and survivor benefits, reallocating resources to support longer life expectancies.
A Vision for Public Health
The following initiatives can lay the foundation for a healthier America:
- Childhood Obesity Programs: Fund daily fitness activities, nutritious meals, and preventive care in schools.
- Food Stamp Reform: Shift focus toward providing healthy food and supplements.
- Accountability for Industries: Hold pharmaceutical and food companies accountable for promoting health over profit.
- Empowering States: Allow state health officials to override ineffective federal policies and implement localized health programs.
Promoting Incentives for Health
Health incentives could include rebates on health insurance or Social Security bonuses for individuals maintaining good health and low medical costs. These measures would not only improve individual well-being but also reduce the financial burden on federal programs.
Beyond Budget Cuts: Promoting the General Welfare
The DOGE should not limit itself to discretionary budget cuts. It must also refocus on the federal government’s role in promoting the “general welfare,” as envisioned by the Founders.