Trump promised an economic revival. In his first 100 days he’s falling short, some economists say.
As President Trump’s second term in office reaches the 100-day mark, his economic policies are coming under scrutiny. During his campaign, Trump promised to boost economic growth and lower inflation, but data shows that his signature policies on trade, immigration, and government spending are falling short of delivering on these promises.
Economists are warning of a potential U.S. recession as the economy shows signs of slowing down. Business surveys indicate a sluggish pace of growth, with the gross domestic product forecasted to slow to 0.8% in the first quarter of 2025. The impact of Trump’s tariffs is causing disruptions for businesses, with many planning to pass on the increased costs to consumers, leading to reduced consumer spending.
Concerns about inflation are also on the rise, with consumers skeptical about Trump’s ability to lower prices. While inflation data shows a slight decrease, economists predict that inflation will pick up later in the year as the impact of tariffs unfolds. Market turmoil has been evident, with the S&P 500 index losing value and the dollar depreciating since Trump’s inauguration.
Despite these challenges, the Trump administration stands by its economic record, citing investments in domestic manufacturing and trillions in new federal revenue from tariffs. However, critics argue that the tariffs will ultimately harm consumers and hinder economic growth. Trump’s tax cuts and deregulation efforts are seen as potential positives for economic growth, but some critics point out the negative consequences of federal spending cuts.
As the debate over Trump’s economic policies continues, the focus remains on whether his trade policy will need to change in order to achieve his economic goals. Some observers believe that Trump’s own policies may be the biggest hurdle to his success in revitalizing the American economy.
Overall, the economic landscape under Trump’s second term remains uncertain, with challenges and opportunities on the horizon. The impact of his policies on inflation, economic growth, and market stability will continue to be closely monitored as the administration navigates the complex economic landscape.
