I think these are some very optimistic if not phony economic forecasts! This seems to be more wishful thinking than serious economics by the CBO!
Why should other countries not try the same if it was so beneficial? A spiral of such self-reinforcing government interventions usually end in economic disaster! This has been tried before in history!
"The Congressional Budget Office just confirmed something the political class said couldn’t be done: cut taxes, reduce the deficit and lower federal borrowing—all at the same time.
That’s exactly what happens when you pair President Trump’s Big Beautiful Bill with his new America First tariff policy. According to the CBO, the tariffs enacted between January and May of this year would reduce federal deficits by $2.8 trillion over the next decade—more than enough to offset the $2.4 trillion the CBO says would be added by extending the 2017 tax cuts.
In short, Trump’s plan makes imports pay for tax relief. ...
The CBO estimates that tariffs will raise $2.5 trillion in direct revenue and save an additional $500 billion in interest payments through reduced federal borrowing. This outpaces the projected cost of the “Big Beautiful Bill,” which includes the permanent extension of the 2017 tax cuts. In practical terms, the tariff policy funds the tax relief. ...
It also reflects a strategic goal: encouraging the reshoring of manufacturing and rebuilding domestic supply chains. ..."
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