Elon Musk warns that "entire agencies must be eliminated" in war on bureaucracy

To date, DOGE and Musk have led the effective termination of entities such as the U.S. Agency for International Development | EFE

The dismantling of part of the U.S. public apparatus to reduce costs.

"Entire agencies need to be eliminated," he said in a video-conference speech at the World Government Summit (WGS) in Dubai.

There, Musk also stressed the need to reduce laws, digitize systems, modernize computers and reform the education system.

With this, he predicted, without providing further details, that an estimated cost reduction of "possibly a trillion dollars or more" could be achieved, and he was confident that "the net effect of this will be that there will be no inflation between 2025 and 2026", while "interest rates will drop significantly".

Federal agencies

"We support President (Donald) Trump reducing the size of the bureaucracy, getting rid of excess regulations (...) In the United States there are 450 federal agencies (...), it's almost an average of two agencies per year since the formation of the US," Musk said, and wondered "how many do you really need to run a country?".

"I think we need to eliminate whole agencies instead of leaving part of them behind, because part of them are actually behind," he added.

He also defended the layoff program to reduce the number of public employees, to whom - he stated - "we offer generous packages", in parallel with the development of computer systems and computers, as well as digitalization in the United States, and gave as an example the layoffs of most of the staff of Twitter (now X), at the time when he acquired the company.

"By improving technology, you reduce costs (...) At Twitter we reduced staff by 80 percent, but at the same time we improved the functionality and capabilities of the site dramatically, we achieved more in one year than they had achieved in five," he said.

On the other hand, he said that currently the U.S. government "runs on a collection of thousands of computers, many of them old, running very old software and the computers don't communicate with each other, that's why technical support is so real. To make the government more efficient, you have to improve the technology."

The tycoon insisted that the general objective of these measures "is to lay the foundations for a prosperity that will last for many decades and perhaps centuries" in his adopted country, the United States.

To date, DOGE and Musk have led the effective termination of entities such as the U.S. Agency for International Development (USAID), dedicated to international cooperation, or the Consumer Financial Protection Bureau (CFPB), in charge of monitoring Wall Street and protecting consumers.

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