Trump plan to send $5K to every adult projected to cost $1.2T and 'explode' the deficit

A proposal by President Donald Trump to send $5,000 to every American adult—if Republicans keep control of the House and Senate in November—would cost about $1.2 trillion and likely worsen deficits and inflation, according to an analysis released Thursday by the nonpartisan Committee for a Responsible Federal Budget. Committee president Maya MacGuineas called it “fiscally dangerous” and said it would require borrowing another $1.2 trillion. Trump unveiled the “Trump dividend” during a nearly two-hour keynote speech at the Republican National Committee’s first midterm convention in Dallas on Wednesday night, adding that the only caveat is Americans spend the money in the U.S. The committee notes debt around $40 trillion, deficits near $2 trillion annually, inflation about 3.5%, and the 10-year Treasury yield approaching 5%. Vice President JD Vance suggested tariffs could fund it, but the Tax Foundation estimates tariffs would cover only about one-tenth of the projected cost.