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Throughout the previous presidential campaign, the former president courted the electorate with promises to lower costs starting on day one. But, once his inauguration, there was precious little attention to affordability issues. This shifted following inflation-weary voters delivered a rebuke at the ballot box. Within days, the Trump administration initiated a hastily assembled effort to tackle affordability. Regrettably, this initiative is a disorganized endeavor—characterized by absurdity, contradictions, magical thinking, blame-shifting, and misleading statements.

Out-of-Touch Assertions and Supermarket Reality

Just two days post-election, the president began his cost-reduction push with a poorly received statement: “Food prices are way down. All items is way down… So I don’t want to hear about affordability.” This comment from the wealthy leader—often mingles with fellow billionaires—revealed a lack of empathy for millions of Americans who struggle when visiting supermarkets. In effect, he dismissed their concerns as trivial, suggesting they were mistaken about price levels.

His assertion about declining prices proved absurdly obtuse and dishonest. How could all costs be falling when the taxes he imposed were increasing costs? Official statistics indicate banana prices rose nearly 7% over the past year, the price of beef went up 14.7%, and the cost of coffee surged by nearly 19%—in part because of punitive tariffs on Brazil’s coffee and beef. In the first three quarters, costs increased in the majority of main grocery groups monitored by the Consumer Price Index, such as animal proteins (up 4.5%), drinks (up 2.8%), and fruits and vegetables (up 1.3%).

Inconsistencies and Falsehoods in Financial Claims

In spite of these numbers, Trump continues to push his misleading narrative about affordability. Since election day, he has stated there is “almost no price increases,” declared “prices are way down,” and asserted “it is far less expensive under Trump than it was under his predecessor.” These statements contradict the reality that general costs have clearly increased after the previous administration. At present, inflation is running at a 3% annual rate, which is half again as much than the central bank’s 2% goal. Adding to the inaccuracies, Trump claimed that gas prices had fallen to around two dollars, even though government figures show they average over three dollars.

Faced with reality and lower approval ratings, advisers evidently warned that his “costs are falling” rhetoric portrayed him as dangerously out of touch from ordinary people. Many citizens are frustrated about rising costs after promises of decreases. In response, advisers suggested a simple solution: roll back certain import taxes. This sensible idea contradicted Trump’s absurd assertion that new tariffs would not increase costs for US consumers.

Proposed Fixes and Their Possible Effects

As certain taxes reduced on coffee, beef, tomatoes, and bananas, Trump will likely announce that he has lowered costs once these products start declining in price. That would be like an arsonist boasting for putting out a blaze that he ignited. On another occasion, while speaking fast-food leaders, Trump declared that “we are in the golden age of America” and told the audience that “prices are coming down and all of that stuff.” Such statements are easy for a billionaire to make, but seem insincere to millions of Americans facing hardships—particularly when many risk losing food stamps or rising insurance costs.

According to a survey from October, 74% of Americans think the state of the economy are mediocre or bad, while only 26% consider them good or excellent. A separate survey showed that 61% of Americans say the administration’s actions have “worsened economic conditions” in the country.

Economic Truth and Suggested Steps

The treasury secretary, the president’s top economic official, recently contradicted assertions of a prosperous era. He noted that far from booming, some parts of the American economy “have contracted.” The manufacturing sector—which Trump vowed to save—appears to have contracted for multiple consecutive months and lost approximately tens of thousands of positions since January. Citing this weakness, the secretary urged the Federal Reserve to reduce borrowing costs—a move that could help affordability.

In response to widespread concern about affordability, Trump proposed a direct payment of “a dividend of at least $2,000 a person” not for “the wealthy.” To numerous struggling Americans, this sounds like manna from heaven, but it is unlikely that lawmakers—concerned about huge budget deficits—will approve such a plan. The scheme would likely raise government expenditure, increase borrowing costs, and possibly fuel inflation by injecting cash into consumers’ pockets.

Another supposed fix for cost issues centered on creating 50-year mortgages, with the notion that they could reduce monthly mortgage payments. But, reality is that such lengthy loans have minimal impact to reduce installments—frequently reducing them by just $100 or $200 each month. The drawback is that these loans could significantly increase the overall cost homeowners pay and hinder building home value.

Faulting the Previous Administration and Financial Outlook

In their cost-cutting effort, Trump and his team have once more pointed fingers at the previous president for economic problems, including increasing costs. Officials claimed they “faced a mess from Joe Biden” and were “cleaning up Biden’s inflation.” This is absurd and inaccurate claims. Actually, the former president left a strong economy, with inflation way down, economic growth strong, and minimal joblessness. However, the current administration’s actions—especially import taxes—have created an difficult situation, driving costs higher and reducing economic output.

Per an economist, lead analyst at Moody’s Analytics, 22 states are already in recession, with their conditions worsened by Trump’s tariffs. Zandi worries that if key regions like California and New York enter a downturn, the nation could slide into a widespread recession. During recessions, consumers typically have less money to spend, and inflation often falls. Unfortunately, given the highly-touted cost initiative probably ineffective to hold down prices, his most effective “tool” for achieving increased affordability might end up triggering an economic contraction—something that struggling Americans really can’t afford.