After 4 Months, Elon Musk Learned What Every American Already Knows, Says Ross Gerber: 'No One In Government Wants To Cut Any Budget'

Tesla TSLA CEO and former Trump administration adviser Elon Musk is learning a hard truth about Washington, according to investor Ross Gerber. “After 4 months Elon learned what every natural born American already knows. No one in the government wants to ‘cut’ any budget,” Gerber wrote in a May 24 post on X.

Musk has spent the past four months heading up the Department of Government Efficiency, or DOGE, a controversial cost-cutting initiative tied to mass layoffs and agency shutdowns. But even Musk now appears to be frustrated with Washington’s spending habits. On Thursday, he wrote on X that his “scheduled time” as a special government employee had come to an end.

Don't Miss:

Mode Mobile developed a smartphone called EarnPhone, which allows users to earn and save money by playing video games, listening to music and reading the news. With the phone priced at an affordable $99, the barriers to adoption are low.

Earning Opportunity for All Smartphone Users

Mode EarnPhone
State-of-the-art smartphone device includes built-in earning features.
EarnOS
Proprietary earning software turns smartphones into EarnPhones.

Min. Investment: $1000
Share Price: $0.26
Valuation: $310M

Musk Criticizes Trump’s Big Spending Bill

In a recent CBS News interview, Musk slammed the Trump administration’s flagship tax and spending package—dubbed the “Big, Beautiful Bill”—saying it “increases the budget deficit, not just decreases.” He warned that the legislation “undermines the work that the DOGE team is doing” and criticized the government for ignoring the need for real cuts.

The bill, which passed the House and is now before the Senate, would boost spending on defense and border security, extend tax cuts, and slash clean energy and health care programs. Nonpartisan analysts estimate it could add trillions to the national debt.

“I think a bill can be big or it can be beautiful,” Musk told CBS. “But I don’t know if it can be both.”

Trending: Invest where it hurts — and help millions heal: Invest in Cytonics and help disrupt a $390B Big Pharma stronghold.

From Political Ally To Cautious Critic

Musk has been a vocal supporter of President Donald Trump and poured over $250 million into his 2024 campaign. But in recent weeks, he’s pulled back from the political spotlight. During a Tesla earnings call, he said he’d reduce his time with DOGE starting in May to focus more on the company. “The large slug of work necessary to get the DOGE team in place… is mostly done,” Musk explained.

He added in a CNBC interview that he would now be at the White House just “a couple days every few weeks.”

Meanwhile, Tesla is dealing with real-world consequences. European sales of Tesla vehicles fell 49% in April, even as overall electric vehicle sales rose 28%, according to data from the European Automobile Manufacturers’ Association. Analysts blame a mix of factors, including Musk’s political activity, factory shutdowns, and an aging vehicle lineup.

See Also: Elon Musk Told The U.N. If They Could Show A Plan For Ending World Hunger He'd Donate $6 Billion – ‘I Will Sell Tesla Stock Right Now And Do It'

Diminishing Impact Of DOGE

Musk has touted DOGE as a trillion-dollar cost-saving initiative, though watchdogs and fact-checkers have questioned its savings claims. So far, the agency claims $175 billion in savings—a figure under dispute.

Musk posted last week that while DOGE “has and will do great work to postpone the day of bankruptcy of America,” he believes the government's “profligacy” means that only radical gains in productivity can truly save the country. He said accelerating GDP growth is now essential, possibly hinting at his push for humanoid robots to boost economic output.

Economist Peter Schiff, chief economist and global strategist at Europac.com, dismissed the impact of DOGE, writing on X: “Unfortunately I think DOGE was too little, too late to really move the needle on a sovereign debt and dollar crisis. The process has already started.”

Read Next: How do billionaires pay less in income tax than you? Tax deferring is their number one strategy.

Image: Shutterstock

TSLA Logo
TSLATesla Inc
$283.91-14.5%

Stock Score Locked: Want to See it?

Benzinga Rankings give you vital metrics on any stock – anytime.

Reveal Full Score
Edge Rankings
Momentum
92.07
Growth
91.86
Quality
86.74
Value
9.28
Price Trend
Short
Medium
Long
Market News and Data brought to you by Benzinga APIs

Comments
Loading...