Projected $200 Trillion Cost of Democratic Socialists’ Policy Agenda

A Cato Institute report estimates that implementing the Democratic Socialists of America’s (DSA) flagship proposals—universal health care, slavery reparations, and a federal jobs guarantee—could require $200 trillion in federal spending over the next decade. At the low-end, spending would rise to 57 % of GDP, compared with 33.8 % of GDP in 2025. At the high-end, the share could approach 92 % of GDP. Funding the agenda would demand doubling federal revenue at the low-end and quadrupling it at the high-end, on top of the $24 trillion ten-year deficit projected by the Congressional Budget Office.

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The DSA has gained visibility through recent electoral successes, including victories for candidates such as New York City Mayor Zohran Mamdani and Representative Alexandria Ocasio-Cortez. ** will finance these programs.

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The report notes that the combined net worth of the 400 richest Americans was $6.6 trillion in 2025, enough to cover only about 9 % of the low-end cost and 3 % of the high-end cost. Projected corporate profits after taxes of roughly $35 trillion over ten years would fund about half of the low-end estimate and 17 % of the high-end estimate. DSA co-chair Megan Romer was unable to specify how a “tax the rich” approach would generate sufficient revenue during an interview with *The New Yorker Radio Hour*.

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Report author **Adam N. The DSA maintains that wealth and corporate taxes will cover the bulk of the costs, despite the report’s calculations showing a substantial shortfall.

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• “It is hard to comprehend. It is closer to Soviet-style communism than European welfare states,” — Adam N. Michel, said report author

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