Trump Picks Staunch Fiscal Conservative Mulvaney As Budget Director

By Tyler Durden

Hinting of a substantial clampdown on government spending over the next four years, this morning President-elect Trump announced the selection of South Carolina Rep. Mick Mulvaney to be his first budget director Saturday morning, a nomination which would put a “staunch fiscal conservative” in charge of managing the federal budget and the logistics of government affairs.

As director of the Office of the Management and Budget, replacing Obama appointee Shaun Donovan, Mulvaney would have broad responsibility for government operations, and for avoiding the government shutdowns that the Freedom Caucus countenanced several times.

The move, which will raise eyebrows among those who expect an unprecedented fiscal expansion under Trump, pits Mulvaney, a true fiscal conservative, in charge of government spending, following repeated alarms about the long-term trajectory of the debt, even as annual deficits have fallen in recent years despite a recent sharp spike during the final months of the Obama administration. He has criticized the use of special war funds to get around caps on defense spending and in past years has suggested that tax increases might be necessary to stabilize the debt, a stance anathema to many conservatives.

Mulvaney’s selection points to a strategy by Trump to cut government where he can. …read more

Source:: ZeroHedge