Trump Faces Economic Skepticism Ahead of Congressional Address

President Donald Trump is preparing to deliver his first joint address to Congress amidst growing public anxiety about the economy and his administration’s ability to deliver on promises of lowering the cost of living. Despite campaigning on the premise of economic improvement and capitalizing on concerns about inflation during Joe Biden’s presidency, Trump now faces a nation increasingly skeptical of his economic policies.

A recent poll conducted by Marist University and NPR reveals a significant level of concern among Americans regarding rising grocery prices. A majority, 57%, anticipate further increases in the next six months, while only 17% expect prices to decline. This pessimism extends to a broader sense of national direction, with 54% of Americans believing the country is heading in the wrong direction. Furthermore, public sentiment regarding Trump’s economic leadership is divided, with more Americans (46%) believing his policies will worsen the economy than improve it (42%).

These economic anxieties come at a time when specific factors are impacting consumer prices. The ongoing bird flu outbreaks have led to a surge in egg prices, further exacerbating concerns about food affordability. Economists have also warned that Trump’s aggressive implementation of tariffs on imports could lead to higher prices for consumers, potentially offsetting any gains from other economic policies.

Erasmus Kersting, an economics professor at the Villanova School of Business, highlights the challenges facing the Trump administration in controlling inflation. "Inflation is not gone, those concerns are still there, and perhaps the Trump administration has found out that inflation is not that easy to control," he said, suggesting that the complexities of economic management are becoming apparent to the new administration.

The White House continues to attribute rising consumer prices to the policies of the previous Biden administration, citing a 3% increase in consumer prices in January compared to the previous year. However, as Trump’s tenure progresses, it will become increasingly difficult to solely blame his predecessor for the current economic climate.

Mounting evidence suggests the public is growing increasingly uneasy about the economic outlook under Trump. A Reuters/Ipsos poll indicates a decline in public approval of Trump’s handling of the economy, dropping to 39% last month from 43% immediately after his inauguration. Consumer confidence metrics also experienced a significant dip in February, marking the largest monthly decline since August 2021. Adding to these concerns, forecasts from the U.S. Bureau of Economic Analysis and Moody’s predict a slowdown in U.S. household income growth, projecting a rate of 4.25% compared to a robust 5.5% last year.

Kersting emphasizes the limitations of rhetoric in addressing tangible economic concerns. "You can only tell stories for so long," he said, noting that Trump’s efforts to portray a positive economic picture may clash with the realities experienced by many Americans. "Something like the price of eggs or rent or peoples job prospects, those are things that he cant just sort of talk away. That might be something where reality comes back and actually has political consequences for him," he added.

Trump is expected to use his address to Congress to defend his administration’s actions during its first six weeks in office. These actions include executive orders aimed at border security, the imposition of new tariffs on foreign imports, and an aggressive push to dismantle parts of the federal government under the leadership of Elon Musk’s Department of Government Efficiency (DOGE).

It remains uncertain how much of Trump’s address will be dedicated to addressing concerns about inflation and the economy. In a social media post previewing his address, Trump stated, "TOMORROW NIGHT WILL BE BIG. I WILL TELL IT LIKE IT IS!"

Musk, the billionaire tech entrepreneur and White House senior advisor, is scheduled to attend the joint address, further highlighting his influential role in the Trump administration. However, recent polling data suggests that Musk’s involvement and the DOGE initiatives, particularly the sweeping cuts to the federal workforce, could pose a political risk for Trump.

The Marist/NPR poll reveals that 50% of Americans hold an unfavorable opinion of Musk, compared to 39% who view him favorably. Additionally, more Americans (44%) have an unfavorable opinion of DOGE than a favorable one (39%). A majority, 55%, believe that Trump’s layoffs of federal workers and cuts to government funding will ultimately cause more harm than good.

White House press secretary Karoline Leavitt defended DOGE’s actions, citing a Harvard CAPS / Harris Poll that found 76% of Americans support a "full-scale effort to find and eliminate fraud and waste in government." Leavitt asserted that "President Trump has his finger on the pulse of the American public, he knows what they elected him to do, and hes committed to doing it," adding that Trump will discuss his accomplishments "across the board" during his joint address.

Trump’s recent announcement of plans to impose 25% tariffs on imports from Canada and Mexico sent the stock market into a decline. While acknowledging the potential for "pain" resulting from these tariffs, Trump maintained that "it will all be worth the price that must be paid."

Kevin Hassett, director of the National Economic Council in the Trump White House, argued that a combination of spending cuts and increased domestic production will drive down inflation. "If you have an explosion of supply and a reduction in government demand, then inflation goes way down," Hassett said, while cautioning that "Were still going to see some memory of Bidens inflation. Its not going to go away in a month."

Trump’s critics are seizing on the signs of economic unease. Bharat Ramamurti, former deputy director of Biden’s National Economic Council, stated that "We’re about less than two months into this new administration which should be a honeymoon period, and yet, President Trump is already underwater quite significantly on his handling of the economy." Ramamurti added that "That’s basically unprecedented, and it demonstrates that the public understands that he’s not really trying to focus on the issues that are most important to them."