Key Takeaways
- Donald Trump is struggling to convince voters that he takes the cost-of-living crisis seriously, despite it being a key issue during his campaign.
- The president’s approval ratings have slipped due to his handling of the economy and his dismissal of the affordability crisis as a "hoax".
- Democrats have seized on the issue, pointing to Trump’s wealthy cabinet and luxury spending, including a new White House ballroom.
- Republican strategists believe Trump needs to create momentum and perception that he is changing things and addressing kitchen table pressures.
- The president’s message on the economy has been inconsistent, with boasts of a booming stock market and strong bond market auctions ringing hollow for many working Americans struggling to pay their bills.
Introduction to Trump’s Economic Challenges
Donald Trump, the man who rode to the White House on a promise to fix America’s cost-of-living crisis, is now struggling to convince voters that he even thinks it is a real issue. Despite his initial campaign focus on affordability, Trump has recently dismissed the crisis as a Democratic "hoax", a move that has backfired and led to a messaging problem for the populist Republican. His approval ratings have ebbed as prices for basic needs such as groceries and rent have continued to rise since his return to office. This has marked a stark reversal for the president, whose greatest assets on the campaign trail were voters’ frustration with out-of-touch elites.
The Impact on Trump’s Approval Ratings
Trump’s approval ratings have slipped from above 50 per cent when he took office to about 44 per cent, according to a Real Clear Politics polling average. A recent Politico poll found that 46 per cent of voters said the cost of living was the worst they could recall, including 37 per cent of those who backed Trump in last year’s presidential election. This suggests that Trump’s handling of the economy is a major concern for voters, and his dismissal of the affordability crisis has only exacerbated the issue. Republican strategists, such as Ron Bonjean, believe that Trump needs to create momentum and perception that he is changing things and addressing kitchen table pressures.
Trump’s Inconsistent Economic Message
Last week, Trump took to the road for his first rally in months to reboot his economic message and put to rest concerns that he had lost touch with ordinary Americans. However, his message was largely lost amid a weave of rhetoric about everything from Somali immigration to Americans buying too many pencils and dolls. Trump acknowledged that prices were too high, but initially walked back his claims of an affordability hoax before later doubling down. This inconsistency has epitomized a broader challenge for the president, who has struggled to stay on message as voters grow increasingly disenchanted with his handling of the economy.
Democratic Criticism and Republican Concerns
Democrats have seized on the opportunity, pointing to Trump’s appointment of the wealthiest cabinet in US history and construction of a new luxury White House ballroom. Republican advisers say Trump’s bravado, an asset on the campaign trail, is less effective while governing during a time of economic hardship. Trump’s very ostentatious style, which includes a love of gold plaques, is not resonating with voters who are struggling to pay their bills. As John Feehery, a Republican strategist, noted, "It works fine when the economy is great, when people feel confident and feel optimistic. It works poorly when people feel down and out and uncertain about the future."
The White House Response
The White House has sought to flip the script on the economy by focusing on the prospect for economic growth driven by tax cuts in the president’s flagship One Big Beautiful Bill and an uptick in investment from overseas. However, boasts of a booming stock market and strong bond market auctions have rung hollow for many working Americans struggling to pay their bills. Georgia congresswoman Marjorie Taylor Greene, a former ally, has accused Trump of "gaslighting" voters by telling them prices are falling as they continue to rise. Inflation sat at about 3 per cent in September, well below the 9 per cent it hit under Joe Biden, Trump’s predecessor, but still firmly ahead of the Federal Reserve’s 2 per cent target.
Conclusion and Future Prospects
In conclusion, Trump’s handling of the economy and his dismissal of the affordability crisis as a "hoax" have led to a messaging problem for the populist Republican. His approval ratings have slipped, and Democratic criticism has highlighted his wealthy cabinet and luxury spending. Republican strategists believe Trump needs to create momentum and perception that he is changing things and addressing kitchen table pressures. The future prospects for Trump’s economic message remain uncertain, but one thing is clear: he needs to find a way to convincingly address the affordability crisis and resonate with voters who are struggling to pay their bills.
