Mar 07 2025
He's doing this because The Fed has been trying to do that and has gone as far as they can go but still having a tough time getting it in check.
Generally as the unemployment rate rises, inflation will come down and thus interest rates will eventually drop.
So through
When you first look at it, it seems like Trump is actually increasing prices especially from the tariffs but if it does play out the way he's anticipating then it will work out better in the long run for American's.
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Deregulation: The administration aims to reduce regulations across various sectors, particularly in energy and housing, to lower production costs and, consequently, consumer prices.
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Energy Production: By increasing domestic energy production, especially oil and gas drilling on federal lands, the administration seeks to lower energy costs for consumers.
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Tax Cuts: Proposals include reducing corporate tax rates from 21% to 15% to incentivize domestic manufacturing and potentially lower consumer prices.
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Tariffs on Imports: The administration plans to impose a 10%-20% baseline tariff on all foreign imports, with a 60% tariff on imports from China, aiming to boost U.S. manufacturing.
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Immigration Policies: Plans to deport unauthorized immigrants and restructure immigration laws are intended to address labor market dynamics and wage pressures.
However, experts caution that some of these measures, particularly broad tariffs and strict immigration policies, could lead to higher consumer prices and labor shortages, potentially exacerbating inflation rather than mitigating it.
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