US President Donald Trump has promised a $5,000 payment to every adult American if Republicans retain their majorities in the House of Representatives and Senate in the midterm elections scheduled for November.
Trump made the remarks while speaking at a Republican Party midterm election convention in Dallas, Texas. He said the payment, which he called the “Trump dividend,” would be financed by the strength of the US economy.
According to the president, the funds would have to be spent within the United States. However, he did not provide further details about the plan, and it remains unclear how it would be implemented in practice.
Critics say such a payment could increase inflationary pressures. Any payment would require congressional approval.
Analysts estimate that the initiative could cost more than $1 trillion. The proposal comes as US national debt has surpassed $40 trillion and the annual budget deficit stands at approximately $1.8 trillion.
Republicans are expected to face challenges in the midterm elections. Historically, the parties of sitting US presidents have lost seats in Congress during midterm voting. Trump has said he wants to prevent that trend.
The proposal is not entirely new. Earlier this year, Trump floated the idea of a smaller $2,000 payment and said congressional approval might not be necessary. Last year, he authorized a $1,776 payment to US service members, calling it a “warrior dividend.”
Republican Senator Bernie Moreno of Ohio said that if Republicans retain control of Congress, he would prepare legislation to expedite adoption of the dividend after the Nov. 3 elections. Democrats have not yet directly commented on the proposal.
Midterm elections are held halfway through a US president’s four-year term and determine all seats in the House of Representatives and roughly one-third of the Senate. They often serve as a referendum on the administration’s performance and can significantly affect its ability to advance legislation.