Trump says Musk would head a government efficiency commission if he's re-elected

• Trump backed the idea, first pitched by the Tesla billionaire weeks ago, before a group of high profile academics and business leaders at the Economic Club of New York.
• Musk has said this commission would aim to examine how agencies are spending money, and eliminate "unsensible" spending.

What he's saying: "I will create a government efficiency commission tasked with conducting a complete financial and performance audit of the federal government and making recommendations for drastic reforms," Trump said.

• He also said he would make America "the world capital for crypto and Bitcoin," a line that got applause from the audience.
• Trump also said the nation should have a sovereign wealth fund created with revenue generated by his tariff proposals. The profits, Trump said, could be used to pay down debt.

State of play: Musk pitched the idea to Trump last month during an interview he hosted with the former president on X.

• After the Wall Street Journal first reported earlier Thursday on Trump's plan to adopt Musk's proposal, Musk said on X: "I look forward to serving America if the opportunity arises. No pay, no title, no recognition is needed."
• In August, Musk pitched himself for a role in this prospective commission.
• "I think it would be great to just have a government efficiency commission that takes a look at these things and just ensures that the taxpayer money, the taxpayers hard-earned money is spent in a good way. I'd be happy to help out on such a commission," Musk said during the interview.

Trump's speech was light on details about how such a commission might work. "How it ultimately gets staffed and directed is yet to come," Brian Hughes, Trump campaign senior advisor, told reporters on Thursday.

• The mention in the speech is "reaffirmation that Trump loves the idea and will work with Musk and others to make sure it happens," Hughes added.

The big picture: In the speech, Trump again vowed to cut corporate tax rates, slap tariffs on imported goods and eliminate ten regulations for every new one out in place.

Zoom out: Evidence is mounting that the U.S. economy is starting to buckle under the weight of higher interest rates. Trump and Vice President Kamala Harris could have a worse economic backdrop when voters head to the polls in November.

• Consumers have felt downbeat about the state of the economy under President Biden, even though official government figures pointed to a still-solid economy. Now the data is beginning to catch up with that dour sentiment.
• The economy added 99,000 private sector jobs last month, according to data released by payroll processing firm ADP on Thursday — the smallest monthly gain since 2021.

The unemployment rate was 4.2% as of July, still historically low but it has steadily ticked up in recent months. The government will release the latest unemployment rate on Friday.

• The Federal Reserve looks likely to cut interest rates at its policy meeting in a few weeks, though it's unclear whether the central bank will do so by a quarter-point or a half-point.

Between the lines: Harris released a slate of economic proposals this week, including a plan to raise the capital gains tax rate to 28% for wealthy households. That is a much smaller increase than the near-40% capital gains tax President Biden proposed.

• Harris also said this week she planned to increase the tax credit for small businesses to $50,000 from $5,000.

Go deeper: Harris breaks with Biden on capital gains, calls for 28% top rate

Editor's note: This story has been updated with additional developments.