The Republican Budget Bill Will Hurt the U.S. Economy

A statement from the World Resources Institute (WRI) arguing that the Republican budget bill (H.R.1.), passed by the U.S. House and Senate in July 2025, will damage the U.S. economy by phasing out clean energy tax credits and introducing restrictive Foreign Entity of Concern (FEOC) rules.

• The Republican budget bill, H.R.1., is described as a setback to U.S. clean energy leadership due to the rapid phaseout of wind and solar tax credits and the implementation of Foreign Entity of Concern (FEOC) restrictions. These measures are expected to make clean energy investments uncertain or unworkable, leading to higher electricity bills for Americans, the loss of hundreds of thousands of jobs, and a decline in U.S. manufacturing investments.
• WRI asserts that the cuts in H.R.1. will constrain electricity supply and increase costs during a period of surging demand driven by AI, electrification, manufacturing, and heat waves. The organization warns that failing to meet this demand could increase the likelihood of blackouts and brownouts, while relying solely on fossil fuels will be insufficient to meet these needs.

APA

Widawsky, D. (2025). The Republican Budget Bill Will Hurt the U.S. Economy. World Resources Institute. https://www.wri.org/news/statement-republican-budget-bill-will-hurt-us-economy

Chicago

Widawsky, David. The Republican Budget Bill Will Hurt the U.S. Economy. World Resources Institute, 2025. https://www.wri.org/news/statement-republican-budget-bill-will-hurt-us-economy.

Wikipedia

{{cite press release |last1=Widawsky |first1=David |title=The Republican Budget Bill Will Hurt the U.S. Economy |publisher=World Resources Institute |date=3 July 2025 |url=https://www.wri.org/news/statement-republican-budget-bill-will-hurt-us-economy |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@misc{widawsky2025republican, author = {Widawsky, David}, title = {{The Republican Budget Bill Will Hurt the U.S. Economy}}, publisher = {World Resources Institute}, year = {2025}, month = jul, url = {https://www.wri.org/news/statement-republican-budget-bill-will-hurt-us-economy}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }