UPDATE: President Donald Trump has just announced a proposal to send Americans a check for $2,000, funded by revenues from tariffs, as he seeks to regain support amid soaring disapproval ratings. In a post on October 29, 2023, Trump stated, “A dividend of at least $2000 a person (not including high-income people!) will be paid to everyone,” claiming those against tariffs are “FOOLS!”
This bold statement comes as Trump’s disapproval rating climbs to a staggering 63%, according to a recent CNN/SSRS poll conducted from October 27 to 30. The notion of distributing checks is not new; Trump has floated similar ideas in the past, but they have yet to materialize.
Trump’s administration has collected nearly $200 billion in customs duties from American consumers since he implemented extensive tariffs on global trading partners in April 2023. This has resulted in an average effective tariff rate of almost 18%, the highest in nearly a century, according to data from the Yale Budget Lab.
However, significant hurdles remain. For these checks to be distributed nationwide, Congressional approval is essential. Earlier this year, Republican Senator Josh Hawley proposed a bill for a $600 check funded by tariff rebates, but Treasury Secretary Scott Bessent indicated that tariff collections would be allocated to reduce the federal deficit instead.
Critics are already raising concerns about the financial feasibility of Trump’s proposal. Erica York, vice president of federal tax policy at the Tax Foundation, highlighted the potential costs: “If the cutoff is $100,000, 150 million adults would qualify, for a cost near $300 billion. If kids qualify, that grows.” York added that tariffs have raised $90 billion of net revenues, significantly less than Trump’s proposed rebate of $300 billion.
Trump’s announcement comes amid his claims of economic success, including low inflation and record stock market prices. He stated, “We are now the Richest, Most Respected Country In the World,” asserting that the nation is on track to pay down its enormous $37 trillion debt.
As this story develops, many are left questioning the viability of Trump’s ambitious proposal and its potential impact on American households. Will Congress support this plan? Stay tuned for updates as more information becomes available.
