There’s a great deal of handwringing in the article. The issue is never, never, never where the money will come from but only what constraints there are, or will be, on meeting demand. If meeting demand is planned properly, there won’t be any price-inflation concern. If the money is simply created without issuing debt, there won’t even be a deficit.
A recent analysis by the Tax Foundation based on data from the first year of the Trump tax cuts projected that they will end up adding $900 billion to federal deficits over 10 years.
That has given a boost to Democrats seeking to spend more on their issues in several ways. First, it reinforces the idea that a trillion dollars is a reasonable amount of money for a presidential proposal. Second, it makes it easier for Democrats to pay for their ideas, since they can simply pledge to roll back some of the unpopular Trump tax cuts that benefited the wealthy. And third, it offers a counter to traditional conservative arguments about adding to the deficit.
“He defanged the Republican Party’s scolding about government spending and deficits,” says Jesse Lee, a spokesman for the Center for American Progress Action Fund. “There is nothing that Democrats are proposing that would be remotely in line with the amount of added deficits [from the Trump tax cuts] compared to the minuscule amount of benefits.”