Prior to his presidency, Donald Trump was a well-known businessman and a wealthy, successful entrepreneur. We have seen many developments come from him and The Trump Organization, such as hotels, casinos, and golf courses. From this career, a main point during his campaigns was the plan he held for the United States economy and how to improve it as a whole. As we enter the second year of his second term, we can look back at the improvements and the downfalls during his overall presidency thus far.
During Trump’s presidency prior to the Covid-19 pandemic, the unemployment rate was at 3.5%, which had been the lowest the country had seen in approximately fifty years. Also prior to the pandemic, his Tax Cuts and Jobs Act of 2017 both lowered corporate tax rates and individual tax rates. The stock market also saw exponential growth before the pandemic hit as well, which boosted 401ks and investments.
In his current term, the GDP growth in certain quarters has been stronger than expected. It also seems that inflation trends have begun to calm down, but they have not decreased or increased. However, there has been less positive effect to the economy since the beginning of his current term, despite his campaign indicating there would be more exponential growth.
Tariffs have been a main focus for Trump towards the economy, as global tariff rates prior to his presidency were about 2.4% and have risen to about 16.8%. While the government has had an increased revenue since the change, consumers are facing the consequences of the tariff policies. Prices for many necessary goods have increased and individuals are spending more money than they had been before. Also, the unemployment rate increased to 4.6% in November 2026 and the amount of jobs being created is much lower than during Biden’s presidency–from 192,000 a month in the last two years of Biden and 55,000 per month in the first eleven months under Trump’s second term.
The cause of these negative effects on individuals, and others regarding healthcare and affordability, are mainly due to Trump’s ‘One Beautiful Bill.’ This bill mainly is tax cuts on higher-income individuals, leading to financial difficulties of those in the middle and lower tax brackets. Also, the government shutdown that lasted 43 days prevents us from viewing the long-term picture stemming from his economic policies and changes. The shutdown was due to Congress not being able to pass the appropriate legislation for the annual budget.
As his presidency continues, it is fair to argue that the economy will continue to change, and continue to affect the middle and lower class workers. Promises had been made to these individuals, yet have not been properly acted on at this point.
