‘Tremendous Return on Investment’: Kamala Harris Stands by Adding $1.7 Trillion to the National Deficit with Enormous Spending Plan

A nonpartisan watchdog group known as the Committee for a Responsible Federal Budget (CRFB) has come out to estimate that her plan would add $1.7 trillion to the national deficit. In comments on the campaign trail this week, Harris attempted to defend the plan, asserting that it would provide a “tremendous” return on investment.

“Today, Vice President Kamala Harris is announcing several proposals for her first 100 days in office to bring down costs for American families,” the statement said.

“The steps announced today will cut taxes for the middle class, reduce grocery costs, take on price gouging, lower the costs of owning and renting a home, continue to bring down the costs of prescription drugs, and relieve medical debt for millions of Americans,” the statement said. “These bold actions will address some of the sharpest pain points American families are confronting and bolster their financial security.”

The spending plan also intends to reduce out-of-pocket medical expenses by lowering drug costs as well as canceling medical debt for “millions of Americans.”

Harris and Walz say they will work with states to “cancel medical debt for millions of Americans” and crack down on pharmaceutical companies who jack up prices for consumers.

According to the statement, Harris will advance the first-ever federal ban on price gouging on food and groceries. This ban will come with transparent rules for corporations to adhere to and new authority for the FTC and state attorneys general to investigate and impose penalties on companies that inflate food prices.

If elected, Harris will propose a $40 billion innovation fund to empower local solutions to building housing. The plan would also attempt to reduce needless bureaucracy to accelerate the construction of new homes.

On top of the $6,000 child tax credit, the plan would cut taxes for frontline workers by up to $1,500. The Affordable Care Act would save middle-class Americans an average of $700 on health insurance premiums.

“Taken together, we estimate the policies in this plan would increase deficits by $1.7 trillion over a decade,” said the CRFB. “That figure would grow to $2.0 trillion if temporary housing policies were made permanent.”

This figure $1.7 trillion from the CRFB includes a $250 billion offset estimated from the proposal to lower the cost of prescription drugs.

By increasing the base credit from $2,000 to $3,000, making it fully refundable, and increasing the credit to $3,600 for children under six,  the child tax credit expansion would add $1.1 trillion to the deficit over 10 years.

“The return on that investment, in terms of what that will do and what it will pay for, will be tremendous,” Harris said.

“When we increase homeownership in America, what that means in terms of increasing the tax base, not to mention your property tax base, and what that does to fund schools. Again, return on investment,” Harris said.

“I think it’s a mistake for any person who talks about public policy to not critically evaluate how you measure the return on investment,” said Harris.

The key to electoral victory in November will be suburban women in swing states like Pennsylvania. Women provide two-thirds of unpaid care work, and women are disproportionately affected when families cannot find affordable care for children and elderly parents. Childcare prices are rising faster than inflation.

Biden proposed national paid family leave. He also pushed to make prekindergarten universal and invest billions in childcare so families would not spend more than 7% of their income.

In North Carolina, Harris said: “That is a vital year of critical development of a child, and the costs can really add up, especially for young parents who need to buy diapers and clothes and a car seat and so much else.”

“When you are strengthening neighborhoods, strengthening communities, and in particular the economy of those communities and investing in a broad-based economy, everybody benefits and it pays for itself in that way,” said Harris.

“Kamala wants to spend $1.7 trillion dollars in wasteful spending, causing more inflation—and she says it’s a mistake to ask her how she’s going to pay for it,” said former President Donald Trump at a press conference. “Kamala can’t answer how she’d pay for any of her new liberal spending schemes that will bankrupt our country.”

The statement said Harris’ plan is in “stark contrast to Trump,” claiming that he would increase costs for families by at least £3000. The statement cites a new national sales tax on imported everyday goods like gas, food, clothing, and medicine. Harris argued that Trump’s plan would spark inflation, and experts said he would plunge America into a recession.

Trump’s running mate, JD Vance, said he wants to raise the child tax credit to $5,000. However, he has also opposed government spending on childcare. He argues that many children benefit from having one parent at home as a caretaker.

During the presidential debate, the moderator asked Trump twice what he would do to lower childcare costs. Both times, he pivoted to other talking points. In his first campaign, the former president sought $1 billion for childcare and a parental leave policy. While he failed, he did succeed in doubling the child tax credit and establishing paid leave for federal employees.

Vance has put forward policies that would make it easier for a family to live off a single income. Vance embraces policies such as these as “pro-family.” Pointing to recent inflation, the Trump-Vance campaign said the Biden administration has made life tougher for families.

According to the Associated Press, the high cost of care for children and the elderly is forcing women out of the workforce. Professional caretakers have been left in low-wage jobs. Whoever becomes the president, their plan needs to promote economic growth and curb inflation.