US economy would be even stronger if Trump got out of the way | Opinion

Is America’s economy soaring because of or in spite of President Donald Trump’s policies?

How you answer that question may say as much about your own political biases as it does anything else. 

But let’s be clear: The U.S. economic engines are roaring, no matter what you hear from liberal partisans who try to downplay the steady stream of good news on everything from jobs to incomes to a remarkable decline in poverty to historically great returns in the stock markets.

Overall, the Trump economy has been good for many Americans, although of course not all. 

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One bit of spectacular news we don’t hear enough about: The poverty rate has dropped 16.5% since 2016 – from roughly 1 in 8 Americans a decade ago to about 1 in 10 now, according to the most recent Census data available. 

The primary reason for that decline, which ought to be seen as a great bipartisan win, is strong economic growth, including throughout most of the five and a half years Trump has been in the White House. 

On the other side of the income scale, the United States minted about 1,200 new millionaires every day in 2025. Think about that: In one year’s time more than 440,000 of our fellow Americans – enough to match the population of Minneapolis – saw their net worth jump into seven figures. It’s a milestone that anchors them in the upper middle class and can set up their children and grandchildren for even more financial success. 

Progressives like to chatter about the so-called K-shaped economy, but the reality is that the U.S. economy is a long-term wealth-generating machine for many Americans who don’t start on the top rungs of the financial ladder. 

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Trump’s tariffs, Iran war have likely slowed economic growth

So why do I ask if Trump is acting more as a brake or an accelerator on the economy? Primarily because of the president’s strange love affair with tariffs and his unpredictable prosecution of the war with Iran, which has dragged on past five months without a clear end in sight.

Both the tariffs and the war have kept inflation higher than it should be, which in turn puts a strain on family budgets and leads to elevated interest rates on auto and home loans. The war also has jacked up energy costs, which not only hurts consumers but also cuts into business profits.

Still, let’s not lose sight of what’s happening in America’s remarkably resilient economy.

Despite persistent fears that artificial intelligence is coming for our jobs, unemployment remains low. In July, jobless claims were at the lowest level since Neil Armstrong walked on the moon and The Beatles released “Abbey Road.”

Salaries are forecast to grow at a healthy 3.5% on average in 2026, the same pace as last year. That means the typical worker is at least keeping up with inflation, which is a vast improvement from 2022 when prices shot up 8% and incomes grew only 5.3%.

And the overall economy continues to grow at a solid pace, despite the uncertainty that tariffs and the war have injected into the marketplace. 

US economy keeps growing – but Trump needs to stay out of the way

Second quarter gross domestic product, according to an advance estimate released July 30, recorded a 1.5% rate of growth. That’s slower than expected, but still better than Japan’s and the European Union’s forecast rates of growth.

The EU has struggled with meager growth for years. Remember that the next time you hear the socialist wing of the Democratic Party promise to “fix” our economy by replicating European-style socialism. 

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Despite frequent volatility, U.S. stock markets continue to add value at an above-average pace: The S&P 500 has gained nearly 17% since July 2025. That growth reflects strong profits across a variety of sectors, and it means a hefty measure of added wealth for the more than 60% of Americans who own stocks. 

Another sign of good times to come: Americans are starting their own businesses at a rapid rate. The Economist recently reported that almost 500,000 new businesses have been launched each month since January 2024. Not all of them will succeed, but widespread entrepreneurship is an encouraging trend that in the long term will accelerate growth in the middle class and beyond.

Trump and his supporters look at all of these facts and holler: “Yay, us.” But as is so often the case with Trump, his bad impulses erode the good decisions he makes. 

The U.S. economy is healthy and growing, but it would be even stronger if the president got out of the way.

Tim Swarens is former deputy opinion editor of USA TODAY and former opinion editor of The Indianapolis Star.

This article originally appeared on USA TODAY: US economy would be even stronger if Trump got out of the way | Opinion