Trump Gives Pentagon $1 Trillion as Medicaid Cuts Loom

Senior Nonresident Fellow Stephen Semler examines the Trump administration’s budget priorities

In his latest analysis, Stephen Semler highlights the stark contrast between unprecedented Pentagon spending and proposed cuts to social welfare programs. Trump’s 2026 federal budget request includes a $1 trillion military allocation, while congressional Republican plans aim to slash $880 billion from Medicaid over the next decade. This issue raises questions about the efficiency and oversight of government spending, noting that the Pentagon has historically failed to pass audits and that much of its spending cannot be fully accounted for.

“The Pentagon has never passed an audit.”

Despite failing to account for much of its spending, the military is poised for even more funding, while Medicaid, which covers roughly 80 million Americans, faces hundreds of billions in cuts.

In Semler’s view, the problem is not efficiency – it is priorities.

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