Stories
Why Inflation Could Become Donald Trump's Biggest Economic Test in the 2026 Midterms
- •A recent AP-NORC poll shows that only 17% of Americans approve of Donald Trump's handling of the cost of living, while 65% blame his policies for persistently high prices.
- •Despite strong macroeconomic indicators like a 4.2% unemployment rate and steady GDP growth, consumers continue to struggle with elevated prices for groceries, gasoline, and electricity.
- •Trump's aggressive use of tariffs and the ongoing conflict with Iran have driven up household expenses, contributing to widespread voter anxiety and low consumer sentiment.
- •While the White House points to long-term benefits from deregulation and tax cuts, slower hiring and uneven economic gains are putting pressure on ordinary households ahead of the 2026 midterm elections.
Key Questions Answered
A poll by AP-NORC reveals that only 17% of Americans approve of Donald Trump's handling of the cost of living. Furthermore, 65% attribute these persistently high prices directly to Trump's policies.
While the US unemployment rate remains at a relatively low 4.2% and the economy grew at an annualized rate of 2.2% in the second quarter, inflation hit 3.4% in August. This persistent inflation has eroded wages and income, creating heavy financial pressures for households.
Trump's tariffs and the conflict with Iran have driven up fuel, food, and goods expenses, with economists estimating that households could face hundreds or thousands of extra dollars in costs. Consequently, majorities of Americans disapprove of his handling of both trade negotiations and the war with Iran.
