President Trump may have accomplished something fiscal conservatives have been trying unsuccessfully to do for decades: he got Washington talking seriously about the national debt. All it took was promising a $5,000 payment—what he calls a “Trump Dividend”—to every adult American citizen if Republicans retain control of Congress. With roughly 240 million eligible recipients, the back-of-the-envelope cost is about $1.2 trillion.
Suddenly, the political class discovered fiscal responsibility. Critics immediately pointed out that the federal government doesn’t have over a trillion dollars lying around. They warned that the checks would increase the deficit. They reminded us that the national debt has surpassed $40 trillion. They worried about inflation, borrowing costs, and the burden we are leaving to future generations.
Those are legitimate concerns. In fact, they should have been dominating our national political debate for decades.
The federal government has been spending money it does not have at an astonishing rate. Annual deficits that once would have produced political panic are now treated almost as background noise.