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Republicans Embrace 'De-Growth' Policies Under Trump, Marking Shift from Pro-Growth Agenda

The U.S. economy contracted by 0.3% in Q1 2025 as tariffs, immigration restrictions, and trade instability redefine GOP priorities, drawing praise from party leaders.

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U.S. Sen. Rand Paul speaks at the Ronald Reagan Library in Simi Valley, CA. on Tuesday, Feb. 20, 2024. Paul was at the library t promote his book, “Deception: The Great Covid Cover-Up”.  (Photo by Hans Gutknecht, Los Angeles Daily News/SCNG)
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Overview

  • The U.S. economy experienced its first contraction since 2022, shrinking by 0.3% in Q1 2025, attributed to President Trump’s aggressive tariffs and trade policies.
  • White House trade adviser Peter Navarro celebrated the economic downturn, framing it as a necessary step toward national sovereignty and manufacturing revival.
  • Republican leadership has reframed economic sacrifice as a patriotic and masculine virtue, with commentators praising reduced consumption and manufacturing over service-sector growth.
  • International student enrollment dropped 11%, and tourism declined 12%, raising concerns about the long-term competitiveness of the U.S. economy.
  • Senator Rand Paul remains one of the few Republican lawmakers openly opposing Trump’s trade war, as most of the GOP aligns with the administration’s anti-growth policies.