President Donald Trump won the 2024 election because of his lofty promises on the economy. One year into his second term, where does his economic agenda stand?
Trump promised Americans that their financial outlooks would drastically improve on Day 1 of his presidency—but many have yet to feel those economic benefits one year into his term. Recent polls repeatedly show Trump’s economic message is failing to resonate with voters despite his claims that the economy is the “best” it’s ever been.
Here are five of Trump’s lofty promises he made throughout his campaign and his first year in office about the economy.
1. Bring down cost of living and inflation on Day 1
“When I win, I will immediately bring prices down starting on day one.” — August 2024
Trump heavily campaigned on bringing the costs of groceries down starting on the first day of his second term. But one year later, data from the Department of Agriculture showed that food costs have only increased.
The consumer price index for food increased 2.7% between November 2024 and November 2025, according to data from the U.S. Bureau of Labor Statistics. This could be due to the skyrocketing cost of beef—which increased 15.8% between November 2024 and November 2025.
Inflation also remained high during Trump’s second term in office. The personal consumption expenditures index, the Fed’s favored inflation gauge, showed that inflation rose to 2.8% annual pace in the third quarter of last year. This is up from 2.1% in the second quarter of last year.
While some costs remain high, Trump’s promise to lower gasoline prices did come true. According to AAA, the average cost of gasoline is $2.81 per gallon, down from $3.06 one year ago.”
2. Bring back jobs to American workers
“With the vision I’m outlining today, not only will we stop our businesses from leaving for foreign lands, but under my leadership, we’re going to take other countries’ jobs.” — September 2024
Trump repeatedly promised to increase jobs for Americans throughout his campaign, but government data showed that hiring actually slowed during the first year of his second term.
Hiring dropped off after Trump announced his widespread tariffs in April 2025, which sent shockwaves through the U.S. and world economies. The U.S. lost jobs in June, August and October, according to data from the Bureau of Labor Statistics.
The Associated Press noted that unemployment rose from 4% in January 2025 to 4.6% in November 2025, which is the highest in four years.
Trump also repeatedly claimed that tariffs would bring back manufacturing jobs for U.S. workers. Data from the Bureau of Labor Statistics showed that manufacturing jobs fell 0.6% between November 2024 and November 2025, according to The Associated Press.
3. Tariffs will generate revenue for the U.S.
“Tariffs are going to make us rich as hell. It’s going to bring our country’s businesses back that left us.” — January 2025
Trump repeatedly claimed that tariffs will boost revenue for the U.S., even suggesting that he will send $2,000 rebate checks to Americans as a result of his policies.
However, many experts and economists warned for months that tariffs would only harm U.S. consumers. An analysis from Democrats on the Joint Economic Committee found that Trump’s tariffs cost U.S. families nearly $1,200 between February 2025 and November 2025.
“While President Trump promised that he would lower costs, this report shows that his tariffs have done nothing but drive prices even higher for families,” said U.S. Senator Maggie Hassan, Ranking Member of the Joint Economic Committee. “At a time when both parties should be working together to lower costs, the President’s tax on American families is simply making things more expensive.”
4. Lower interest rates
“I’ll demand that interest rates drop immediately, and likewise, they should be dropping all over the world.” — January 2025
Trump has often vowed to lower the Fed’s interest rates despite having no authority to do so. He repeatedly has lambasted Fed Chair Jerome Powell for not lowering interest rates sooner and has mused about firing him for months.
The Fed dropped its interest rate three times in 2025—going from a 4.3% rate in January 2025 to a 3.6% rate in December 2025. Last month, Trump said the next Fed chair would be someone who believes in lower interest rates “by a lot.”
5. Implement tax cuts for Americans
“Instead of a Biden tax hike, I’ll give you a Trump middle-class, upper-class, lower-class, business-class big tax cut.” — May 2024
Trump boasted about implementing tax cuts for Americans in his “big beautiful bill” passed in July of last year.
The bill made the existing tax rates and brackets permanent and added new tax deductions on tip, overtime and auto loans. The bill also included a $6,000 deduction for older adults who earn no more than $75,000 a year. It also increased the $2,000 child tax credit to $2,200.
It included a cap on state and local deductions, called SALT, that increased to $40,000 for five years.
The Associated Press contributed to this report.
