Business
Chainsaws and Scalpels: How Governments Choose

Javier Milei in Argentina, Musk and Ramaswamy in the US.. What does DOGE in Canada look like?
Under their new(ish) president Javier Milei, Argentina cut deeply and painfully into their program spending to address a catastrophic economic crisis. And they seem to have enjoyed some early success. With Elon Musk now primed to play a similar role in the coming Trump administration in the U.S., the obvious question is: how might such an approach play out in Canada?
Sure. We’re not suffering from headaches on anything like the scale of Argentina’s – the debt we’ve run up so far isn’t in the same league as the long-term spending going on in South America. But ignoring the problems we do face can’t be an option. Given that the annual interest payments on our existing national debt are $11.7 billion (which equals seven percent of total expenditures), simply balancing the budget won’t be enough.
The underlying assumption powering the question is that we live in a world of constraints. There just isn’t enough money to buy everything we might want, so we need to both prioritize and become more efficient. It’s about figuring out what can no longer be justified – even if it does provide some value – and what’s just plain wasteful.
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Some of this may seem obvious. After all, when there are First Nations reserves without clean water and millions of Canadians without access to primary care physicians, how can we justify spending hundreds of millions of dollars funding arts projects that virtually no one will ever discover, much less consume?
Apparently not everyone sees things that way. Large governments operate by reacting to political, social, and chaos-driven incentives. Sometimes those incentives lead to rational choices, and sometimes not. But mega-sized organizations tend to lack the self-awareness and capacity to easily change direction.
And some basic problems have no obvious solutions. As I’ve written, there’s a real possibility that all the money in the world won’t buy the doctors, nurses, and integrated systems we need. And “all the money in the world” is obviously not on the table. So the well-meaning bureaucrat might conclude that if you’re not going to completely solve the big problems, you might as well try to manage them while investing in other areas, too.
Still, I think it’s worth imagining how things might look if we could launch a comprehensive whole-of-government program review.
How Emergency Cuts Might Play Out
Imagine the federal government defaulted on its debt servicing payments and lost access to capital markets. That’s not such an unlikely scenario. There would suddenly be a lot less money available to spend, and some programs would have to be shut down. Protecting emergency and core services would require making fast – and smart – decisions.
We would need to take a long, hard look at this important enumeration of government expenditures. There probably wouldn’t be enough time to bridge the gap by looking for dozens of less-critical million-dollar programs. We would need to find some big-ticket items fast.
Our first step might be to pause or restructure larger ongoing payments, like projects funded through the Canada Infrastructure Bank (total annual budget: $3.45 billion). Private investors might pick up some of the slack, or some projects could simply go into hibernation. “Other interest costs” (total annual budget: $4.6 billion) could also be restructured.
Reducing equalization payments (total annual budget: $25.2 billion) and territorial financing (total budget: $5.2 billion) might also be necessary. This would, of course, spark parallel crises at lower levels of government. Similarly, grants to settle First Nations claims (total budget: $6 billion) managed by Crown-Indigenous Relations and Northern Affairs Canada would also be at least temporarily cut.
All that would be deeply painful and trigger long-term negative consequences.
But there’s a far better approach that could be just as effective and a whole lot less painful:
What an All-of-Government Review Might Discover
Planning ahead would allow you the luxury of targeting spending that – in some cases at least – wouldn’t even be missed. Think about programs that were announced five, ten, even thirty years ago, perhaps to satisfy some passing fad or political need. They might even have made sense decades ago when they were created…but that was decades ago when they were created.
Here’s how that’ll work. When you read through the program and transfer spending items on that government expenditures page (and there are around 1,200 of those items), the descriptions all point to goals that seem reasonable enough. But there are some important questions that should be asked about each of them:
- When did these programs begin?
- What specific activities do they involve?
- What have they accomplished over the past 12 months?
- Is their effectiveness trending up or down?
- Are they employing efficiency best-practices used in the private sector?
- Who’s tasked with monitoring changes?
- Where are their reports published?
To show you what I mean, here are some specific transfer or program line items and their descriptions:
Department of Employment and Social Development
- Workforce Development Agreements ($722 million)
- Indigenous Early Learning and Child Care Transformation Initiative ($374 million)
- Payments to provinces, territories, municipalities, other public bodies, organizations, groups, communities, employers and individuals for the provision of training and/or work experience, the mobilization of community resources, and human resource planning and adjustment measures necessary for the efficient functioning of the Canadian labour market ($856 million)
Department of Industry
- Contributions under the Strategic Innovation Fund ($2.4 billion)
Department of Citizenship and Immigration
- Settlement Program ($1.13 billion)
Department of Indigenous Services
- Contributions to provide income support to on-reserve residents and Status Indians in the Yukon Territory ($1.05 billion). Note that, as of the 2021 Census, there were 9,150 individuals with North American Indigenous origins in Yukon. Assuming the line item is accurately described, that means the income support came to $114,987/person (not per household; per person).
Each one of those (and many, many others like them) could be case studies in operational efficiency and effectiveness. Or not. But there’s no way we could know that without serious research.
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Business
Labor Department cancels “America Last” spending spree spanning five continents

MxM News
Quick Hit:
The U.S. Department of Labor has scrapped nearly $600 million in foreign aid grants, including $10 million aimed at promoting “gender equity in the Mexican workplace.”
Key Details:
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Labor Secretary Lori Chavez-DeRemer and Deputy Secretary Keith Sonderling were credited with delivering $237 million in savings through the latest round of canceled programs.
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Among the defunded initiatives: $12.2 million for “worker empowerment” efforts in South America, $6.25 million to improve labor rights in Central American agriculture, and $5 million to promote women’s workplace participation in West Africa.
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The Department of Government Efficiency described the cuts as necessary to realign U.S. labor policy with national interests and applauded the elimination of all 69 international grants managed by the Bureau of International Labor Affairs.
Diving Deeper:
The U.S. Department of Labor on Wednesday canceled $577 million in foreign aid grants, including a controversial $10 million program aimed at promoting “gender equity in the Mexican workplace,” according to documents obtained by The Washington Post. The sweeping decision to terminate all 69 active international labor grants comes as part of a larger restructuring effort led by John Clark, a senior DOL official appointed during the Trump administration.
Clark directed the department’s Bureau of International Labor Affairs (ILAB) to shut down its entire grant portfolio, citing a “lack of alignment with agency priorities and national interest.” The memo explaining the cancellations was first reported by The Washington Post and highlights a broader shift in federal labor policy toward domestic-focused initiatives.
Among the eliminated grants were high-dollar projects that had drawn criticism from watchdog groups for years. These included $12.2 million designated for “worker empowerment in South America,” $6.25 million targeting labor conditions in Honduras, Guatemala, and El Salvador, and $5 million to elevate women’s workplace participation in West Africa. Other defunded programs involved $4.3 million to support foreign migrant workers in Malaysia, $3 million to improve social protections for internal migrants in Bangladesh, and $3 million to promote “safe and inclusive work environments” in Lesotho.
The Department of Government Efficiency, also involved in the review, labeled the grants as “America Last” initiatives, and pointed to the lack of measurable outcomes and limited benefits to American workers. The agency commended the leadership of Labor Secretary Lori Chavez-DeRemer and Deputy Secretary Keith Sonderling for securing $237 million in savings during this round alone.
The cuts mark the second major cost-saving move under Chavez-DeRemer’s leadership in as many weeks. Just days earlier, she canceled an additional $33 million in funding, including a $1.5 million grant focused on increasing transparency in Uzbekistan’s cotton sector. Chavez-DeRemer, a former Republican congresswoman from Oregon, was confirmed as Labor Secretary on March 11th by a bipartisan Senate vote of 67-32.
Business
Elon Musk, DOGE officials reveal ‘astonishing’ government waste, fraud in viral interview

From LifeSiteNews
Elon Musk said that ‘the sheer amount of waste and fraud’ in federal agencies, is ‘astonishing’ and that DOGE is cutting ‘$4 billion a day’ in misused taxpayer funds.
In a remarkable Fox News interview, Department of Government Efficiency (DOGE) founder Elon Musk and top officials of the DOGE team offered stunning, often infuriating, insights into how the federal government functions.
The interview, which has garnered well over 10 million online views on X in less than 24 hours, provided one extreme example after another of government mismanagement, excess, waste, and fraud while simultaneously promising a future where the D.C. Leviathan is tamed and restored to its proper, efficient role.
The new Deputy Director of the Office of Management and Budget (OMB), former U.S. House Rep. Dan Bishop, averred that the DOGE A-Team interview was the “most amazing and significant half-hour in TV history.”
Musk was joined by DOGE team members Steve Davis, Joe Gebbia, Aram Moghaddassi, Brad Smith, Anthony Armstrong, Tom Krause, and Tyler Hassen – all successful businessmen and entrepreneurs in their own rights – to describe the widespread systemic weaknesses and failures at the Internal Revenue Service (IRS), the National Institutes of Health (NIH), the Department of Health and Human Services (HHS), the Social Security Administration (SSA), and more.
Fox host Bret Baier described the group as “Silicon Valley colliding with government.”
“This is a revolution. And I think it might be the biggest revolution in government since the original revolution,” said Musk during the discussion.
“But at the end of the day, America’s going to be in much better shape,” he promised.
“America will be solvent. The critical programs that people depend upon will work, and it’s going to be a fantastic future.”
My interview with the @elonmusk and the @DOGE team tonight on #SpecialReport pic.twitter.com/KKpxEPtu1Z
— Bret Baier (@BretBaier) March 27, 2025
“The government is not efficient, and there’s a lot of waste and fraud. So we feel confident that a 15% reduction can be done without affecting any of the critical government services,” began Musk, founder and CEO of both Tesla and SpaceX and owner of X.
Musk said that the most stunning thing he’s discovered during the early phases of DOGE is “the sheer amount of waste and fraud in government. It is astonishing. It’s mind-blowing.”
Musk cited the example of a simple 10-question National Park online survey for which the government was charged nearly $1 billion and which in the end served no purpose.
“I think we will accomplish most of the work required to reduce the deficit by a trillion dollars within [130 days],” he predicted. “Our goal is to reduce the waste and fraud by $4 billion a day, every day, seven days a week. And so far, we are succeeding.”
Billionaire Airbnb co-founder Joe Gebbia, is working to digitize the retirement process for government employees, which is currently stuck using 1950s technology, housed in a Pennsylvania cave.
“It’s an injustice to civil servants who are subjected to these processes that are older than the age of half the people watching the show tonight,” said Gebbia. “We really believe that the government can have an Apple store-like experience, beautifully designed, great user experience, modern systems.”
“The retirement process is all by paper, literally, with people carrying paper and manila envelopes into this gigantic mine,” added Musk, limiting the number of federal employees who can retire to no more than 8,000 per month.
Gebbia expects to have the antiquated system updated and overhauled in a matter of months.
“The two improvements that we’re trying to make to Social Security are helping people that legitimately get benefits protect them from fraud that they experience every day on a routine basis and also make the experience better,” said DOGE software engineer Aram Moghaddassi.
He offered an amazing statistic: “When you want to change your (direct deposit) bank account, you can call Social Security. We learned 40% of the phone calls that they get are from fraudsters” who are attempting to commandeer retired seniors’ benefit payments.
“What we’re doing will help their benefits,” assured Musk. “As a result of the work of DOGE, legitimate recipients of social security will receive more money, not less money.”
“There are over 15 million people that are over the age of 120 that are marked as alive in the Social Security system,” said Steve Davis, who has previously worked alongside Musk at SpaceX, the Boring Company, and X
He explained that despite this being discovered by hardworking personnel at the SSA back in 2008, nothing was done. As a result, 15-20 million social security numbers that were clearly fraudulent were just floating around, susceptible to being used for “bad intentions.”
Health care entrepreneur Brad Smith, who has taken charge of auditing HHS and NIH, also cited stunning, troubling statistics displaying the extreme inefficiencies of the nation’s top federal health organizations.
Smith said that at NIH, “Today they have 27 different centers” created by Congress over the years and there are “700 different IT systems,” each using their own IT software.
“They have 27 different CIOs (Chief Information Officers),” added Smith, “so when you think about making great medical discoveries, you have to connect the data.”
Those discoveries are likely severely hampered by NIH’s communications disconnect.
Anthony Armstrong, a Morgan Stanley banker now working for DOGE at the Office of Personnel Management (OPM) talked about “duplicative functions” and “overstaffing” at government agencies. He said that money is “sloshing out the door.”
As an example, he cited the IRS, which has 1,400 employees whose only job is to provision laptops and cell phones to IRS workers.
“As an ex-CFO of a big public tech company, really what we’re doing is, we’re applying public company standards to the federal government, and it is alarming how the financial operations and financial management is set up today,” said Tom Krause, CEO of Cloud Software Group.
He explained that there is virtually no accountability or verification protections when it comes to the Treasury Department disbursing funds to various government agencies.
A 94-year-old grandmother is no longer “going to be robbed by forces like she’s getting robbed today, and the solvency of the federal government will ensure that she continues to receive those social security checks,” added Musk.
“The reason we’re doing this is because if we don’t do it, America is going to go insolvent and go bankrupt, and nobody’s going to get anything,” said Musk.
Tyler Hassen, a former oil executive working at the Interior Department for DOGE alleged that there was no departmental oversight at the Interior Department “whatsoever” under the Biden administration.
Steve Davis talked about the out-of-control issuance and use of federal credit cards.
“There are in the federal government around 4.6 million credit cards for around 2.3 to 2.4 million employees. This doesn’t make sense. So, one of the things all of the teams have worked on is we’ve worked for the agencies and said, ‘Do you need all of these credit cards? Are they being used? Can you tell us physically where they are?’” recounted Davis.
“Clearly there should not be more credit cards than there are people,” interjected Musk.
Musk later described how the Small Business Administration (SBA) has given out $300 million in loans to people “under the age of 11.” An additional $300 million in loans has been handed out to people “over the age of 120.”
Musk said that these government loans are clearly “fraudulent.”
“Terrible things are being done,” he exclaimed. “We’re stopping it.”
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