Dear Reader,
It’s Friday the 13th… Oooh! Watch out!
Today I want to address a topic I’ve been asked about a lot since the election – DOGE: the Department of Government Efficiency touted by Elon Musk and Vivek Ramaswamy.
So, it’s hard to judge how effective something like this could be, given that neither of these people have any governmental authority.
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It’s not like they’re the Secretary of Defense or Secretary of State.
Basically, the idea is they’ve got these ideas and then they have to convince people to act on them.
And those historically haven’t been so effective.
But there is one historical precedent for how good this can actually be…
Back in 1940 Franklin D. Roosevelt knew war was coming.
Now, the American public couldn’t accept that yet.
They were still in the isolationist mind frame they’d been in after World War I.
But FDR knew it was a matter of time before Germany and Japan finished with their next-door neighbors and made their way across the street to us.
So, he had this problem. And he was slowly trying to nurture the American public to get ready for this kind of thing.
But again, America wasn’t prepared.
It was unequipped for modern warfare.
What FDR did was gave industrial leaders the lead in making key decisions. To really strategically plan for our mobilization.
The head of that effort was GM President William Knudsen.
He took the lead in getting the U.S. government ready for a potential conflict with Germany and Japan.
He basically told FDR, just give me 18 months, and I will mobilize enough of American industry to produce the greatest outpouring of tanks, subs, machine guns, aircraft carriers, you name it.
And he really did that. Knudsen did a great job. This true patriot really stepped up.
When Japan attacked Pearl Harbor in December 1941, the U.S. was already outproducing Germany and was actually ready to engage in warfare.
Fast-forward to today, and as I’ve said here many times before, the world has entered a new cycle of war.
China and Russia are trying to flip the international script.
They’re what we call revisionist powers.
Remember, post-World War II the U.S. and Europe created the rules-based international order and created all the institutions like the World Trade Organization and did everything in ways that really favored the winners.
Winners get to do that.
To the winners go the spoils.
Now Russia wants to topple this world order completely…
China wants a bigger seat at the table.
Now you can argue whether that’s legitimate or not or whether they have a right to or not.
The only thing I know for sure is you don’t stay the world’s #1 power like we are by giving it away.
The person trying to take that title from you, they gotta earn it.
The point of the matter is these people are trying to flip the international order.
China’s trying to push the U.S. out of the #1 spot.
There’s no doubt about that.
Xi Jinping has said as much.
And they’ve prepared to go to war by 2027. His words, not mine.
Having this DOGE, Department of Government Efficiency, run by Musk and Ramaswamy, to me is a great idea.
I mean, come on – whether you lean left or right, Lord knows our government would be a heck of a lot better off if we squeezed money and efficiencies and saved $2 trillion.
Not to take a shot on that is absurd.
Why wouldn’t we?
The Pentagon, specifically, just failed another audit this year.
When we talk about the savings that could extracted, the defense spending is the #1 discretionary spending that we can touch.
The rest of it is Social Security, Medicare, Medicaid and interest on debt.
Right after that is defense.
So defense is really the one area you can play with.
So I’m sure Musk and Ramaswamy have come up with a lot of ways to really attack this.
So my opinion on DOGE is that it’s great if we do it like FDR did with Knudsen and these people actually take our military up a notch, extracting cost savings elsewhere.
But, we’re all adults here. We know no matter what they say it’s going to be difficult for any political leader to pass any legislation that changes Social Security, Medicare or Medicaid.
You tell me – those of you who collect Social Security – do you want them to mess around with your payments?
I know most people don’t.
So they’re going to have to find savings elsewhere.
I hope they can do it. I’m rooting for them.
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