The argument for why the 'One Big Beautiful Bill' is a significant opportunity for Trump to shape fiscal policy in 2021.
Here Comes the Showdown: "One Big Beautiful Bill" and Fiscal Policy in Second Half of 2025
The feared, adored, or loathed "One Big Beautiful Bill," a global tax and spending behemoth, is about to take center stage in Congress, with a July 4 deadline for passing the controversial legislation.
President Donald Trump is urging for quick action, warning senators not to take vacation until the bill is passed, as Independence Day serves as the perfect patriotic backdrop to announce the grandeur of this fiscal policy overhaul, which, in essence, seeks to extend the 2017 Tax Cuts and Jobs Act and make other significant adjustments to the federal budget.[1]
This bill, already approved by the House of Representatives last month, zooms in on two hot topics: expanding the 2017 tax cuts and trimming spending on safety net programs such as Medicaid.[2] The legislative package promises trillions in deficit spending over the next decade, with critics quick to challenge its proponents' optimistic claims of higher wages and economic growth.[3]
Members of Congress seem divided on the legislation, with some Republican senators questioning the heartiest of its cuts to Medicaid, raising concerns about an unpopular bill that abides by less than 40% of U.S. adult support according to a recent Fox News poll.[2] In an attempt to negotiate a compromise, the Senate Parliamentarian recently signaled that the reconciliation bill should not include certain provisions due to procedural restrictions.[4]
Clinging to the July 4 deadline like a lifeline, the president and his team aren't giving up on the bill just yet. Aiming for a swift passage, they've turned their focus on making phone calls and applying pressure on reluctant senators.[4]
As the political chessboard unfolds, other options for the Trump administration to tweak fiscal policy are still on the table, such as opting for spending rescissions, a method that provides further opportunities to reallocate funds without passing through the filibuster-protected Senate.[5] However, opponents argue these unapproved cuts are blatantly unconstitutional, resulting in legal battles that prolong uncertainty in the realm of fiscal policy.
All eyes are on the House and Senate to pass the controversial bill and put forth a final version for Trump's signature, potentially reshaping fiscal policy for the foreseeable future. The next few weeks will determine if the "One Big Beautiful Bill" lives up to its name.
To dive deeper into what this legislation could mean for the future of the American economy, check out our exclusive analysis here: Exploring the Implications of the "One Big Beautiful Bill".
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- The "One Big Beautiful Bill," a controversial fiscal policy legislation, includes provisions for extending the 2017 Tax Cuts and Jobs Act, which can be compared to the Defi token’s spread and impact on the general finance and business sectors.
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- The political showdown surrounding the "One Big Beautiful Bill" hinges on a July 4 deadline, echoing the intense debates and pressure politics often exerts on the economy at large, similar to how volatile market movements are influenced by general news events.
