Trump economic policies may increase costs for most Americans

An analysis by the Institute for Tax Policy and Equity (ITEP) suggests that Donald Trump’s economic policies may result in increased financial burdens for most American income groups. While the wealthiest 1% are projected to see an average benefit of approximately $12,560, middle-income groups could face a net loss of $1,700 in 2026, and the lowest fifth of earners could see a $750 increase in costs.

The study attributes these rising costs to several factors, including import tariffs, restrictive immigration policies, and the conflict with Iran. For middle-income earners, the report estimates that $1,850 in additional price-driven expenses and $230 from expiring health insurance subsidies will outweigh $380 in new tax savings.

Public sentiment reflects significant economic anxiety. A Pew survey indicates that over half of respondents lack enough savings to cover three months without income, and one in four cannot fully pay monthly bills. Rising prices for energy, fuel, and food are primary concerns, with diesel prices exceeding $6 per gallon in September. The White House has contested these findings, citing economic growth, job creation, and tax relief benefits for low- and middle-income citizens.