Opinion: Trump's "Big Money Printing" Will Forge an Inflation Boomerang, Stimulus Checks Often Come With a Hefty Involuntary Taxation

BlockBeats News, November 9th, KobeissiLetter published a detailed market analysis on the "Trump $2000 Per Capita Tariff Dividend," stating that President Trump has just announced the "Tariff Dividend," where each American can receive at least $2000. It is expected that over 85% of American adults will receive this amount, with a total distribution exceeding $400 billion. Meanwhile, U.S. debt has approached $40 trillion, and the economic impact of this large-scale "stimulus" payment is significant.

Firstly, who will receive this payment? The most recent stimulus payment was the $1400 stimulus check in March 2021. The full amount is only paid to: individuals with an annual income of less than $75,000, families with an annual income of less than $112,500, and married individuals with an annual income of less than $150,000. The same criteria will be applied to 2025: approximately 220 million American adults currently meet these income criteria.

Just as the 2021 stimulus check greatly boosted consumption, a one-time "stimulus" is often followed by a prolonged period of high inflation. After the last round of stimulus measures, the U.S. inflation rate approached 10%. Stimulating the economy through payments will only add fuel to the fire. The U.S. has never implemented such a massive stimulus plan while the stock market is approaching historical highs. Ultimately, stimulus payments almost always turn into significant "involuntary taxation," and the American people will end up paying several times the amount of the stimulus subsidy received in the form of inflation.