Sen. Ted Cruz is pushing back against what he calls “right-wing socialism,” warning fellow Republicans that populism should focus on jobs and small businesses rather than direct government payments.
The Texas Republican made the argument Tuesday during an appearance on Fox News’ “The Will Cain Show,” as Republicans debate President Donald Trump’s proposal to send $5,000 payments to American adults if the GOP retains control of both chambers of Congress in November.
“I consider myself very much a populist,” Cruz said, adding that “the base that has elected me every time has been blue-collar workers.”
But Cruz drew a sharp distinction between his view of populism and policies built around direct government payments.
“Here’s the difference: the way to be a populist is not get in the [Sen.] Bernie Sanders (I-Vt.) game of giving away free stuff,” Cruz told host Will Cain. “The way to be a populist is fight for the jobs of working men and women, fight for small businesses.”
Cruz’s criticism comes less than two weeks after Trump unveiled what he has called the “Trump Dividend” during the Republican midterm convention in Dallas. Trump pledged $5,000 to every adult citizen if Republicans maintain control of the House and Senate, with the condition that the money be spent in the United States.
The proposal has quickly become a point of debate within the Republican Party.
Some GOP lawmakers have raised concerns about the potential cost of the payments at a time when the national debt has topped $40 trillion. Providing $5,000 to every eligible American adult could cost more than $1 trillion, and congressional approval would be required to authorize the payments.
Sen. Bernie Moreno of Ohio is among the Republicans embracing Trump's idea. Moreno has said he plans to introduce legislation to authorize the payments after the November election. His version would rely on what he describes as a “market access fee” on foreign goods rather than general taxpayer revenue, while also requiring recipients to spend the money domestically.
Cruz, however, is arguing that Republicans should resist the broader idea of competing with Democrats through government benefits.
“There are two answers to ‘right-wing socialism’: no, and hell no,” Cruz wrote on X, adding that socialism “has been a train wreck” wherever it has been implemented.
His comments also come as Republicans increasingly focus their criticism on democratic socialist candidates and policies on the political left. Cruz’s argument is that the GOP risks undermining that message if Republicans begin adopting their own versions of large-scale government payments.
“There are misguided voices in MAGA saying, ‘Let’s embrace socialism lite,’” Cruz told Cain. “You know what? If we campaign and say, ‘We’ll be just like the Democrats except not as a generous Santa Claus,’ that’s a path to losing.”
The dispute highlights a broader economic debate inside the Republican Party ahead of the midterms. Trump is pitching the $5,000 dividend as a tangible benefit of continued Republican control, while Cruz and other GOP skeptics are emphasizing fiscal restraint and policies aimed at employment and businesses instead of direct cash payments.
