Overview
- At a White House Cabinet meeting, President Trump labeled Democrats’ affordability focus a hoax, claimed he inherited the worst inflation, and asserted prices for gas, beef and eggs are falling.
- He clashed with Fox Business reporter Edward Lawrence over questions on cost-of-living concerns, accusing the media of peddling fake news as he argued prices are coming down.
- Official figures show the Fed’s 11 rate hikes under President Biden reduced inflation from about 9% to roughly 2.9%, yet overall prices remain about 25% higher than in late 2019 with larger increases in housing, food and electricity.
- Economist Robert J. Shapiro says policy moves like higher tariffs and subsidy cuts are raising consumer costs and that meaningful relief is unlikely before the 2026 midterms.
- Treasury data show $4.5 trillion in 2024 capital income flowed overwhelmingly to the top, with the top 10% receiving 88% and the bottom half just 2.5%, as median real earnings have barely grown since 2019 while productivity rose.