A new report claims the Democratic Socialists of America are backing a sweeping expansion of federal spending, with proposals spanning reparations, climate programs and broad social benefits that could exceed $200 trillion over the next 10 years.
According to a lower-end estimate from the libertarian Cato Institute, the DSA agenda — gaining fresh attention after several prominent electoral wins, from Congress to New York City Mayor Zohran Mamdani — would push federal outlays to about 57% of gross domestic product.
By comparison, U.S. government spending in 2025 amounted to roughly 33.8% of GDP.
The DSA has argued that ambitious social programs could be financed through “aggressive wealth taxes on the richest individuals and corporations.” But the Cato report contends that taxes on high earners and major companies would cover only a limited share of the total cost.
“The DSA is selling people a bigger government and saying someone else will pay for it. It’s mathematically impossible,” said Adam N. Michel, the author of the report.
Among the most expensive proposals identified in the analysis are universal health care, estimated at $39.9 trillion to $75.4 trillion over a decade; slavery reparations, projected at $13.5 trillion to $28 trillion; and a federal jobs guarantee, which the report says could cost between $4.4 trillion and $60.4 trillion.
Under the institute’s highest-cost scenario, total government spending would climb to what the report describes as a staggering 92% of GDP.
“It is hard to comprehend. It is closer to Soviet-style communism than European welfare states,” Michel said.
