Former President Donald Trump has proposed a new economic plan on Truth Social to fund a nationwide dividend using tariff revenue. He said the initiative would provide “a dividend of at least $2,000 per person (excluding high-income earners),” aiming to return national wealth directly to Americans.
Trump’s idea involves imposing tariffs on imported goods and redistributing part of that revenue to U.S. citizens. He argued that foreign exporters would “contribute more to the American economy” while boosting household income. He defended tariffs as a strong economic tool, calling critics “fools” and pointing to what he described as strong markets and low inflation during his presidency.
Details of the so-called “American Dividend” are unclear. Trump did not specify how payments would be made, who qualifies, or how oversight would function. Potential methods might include direct checks, tax credits, or offsets for essential expenses, though none have been formally suggested.
Economists note that tariff-funded dividends are unusual in the U.S., though Alaska’s oil dividend, funded by natural resource revenue, shows how national income can be shared with residents. Experts warn broad tariffs can raise consumer prices and strain trade relationships, but supporters argue they could strengthen domestic industries and reduce dependence on foreign supply chains.
Currently, the proposal is largely political messaging rather than a policy blueprint. Turning it into a functional program would require detailed planning, congressional approval, and analysis of its economic impact. Trump’s plan reflects his broader theme of using national revenue mechanisms to prioritize American households, though its feasibility remains uncertain.