Things Trump ‘Needs’ To Do for American’s Wallets in 2026, According to Economists

Economic Changes Under Trump Administration - The second Donald Trump Administration has made significant changes to the economy and shows no signs of slowing down [1] Deficit Spending and Interest Rates - The government's $2 trillion deficit is putting upward pressure on Treasury yields, which affects borrowing costs across the economy [4] - Economists suggest that reducing deficit spending could lead to lower interest rates, benefiting mortgages, car loans, and business credit [3][4] National Debt Concerns - The national debt is approaching $40 trillion, raising concerns about the budget and deficit among the public [5] Housing Market Dynamics - Single-family home prices have increased by 0.1% over the last 12 months, remaining near all-time highs [6] - Economists argue that high housing costs are due to insufficient new construction rather than the length of mortgage loans [6][7] Inflation Trends - The Consumer Price Index (CPI) has risen from 2.3% in April to 3% by September, with forecasts indicating a core Personal Consumption Expenditures (PCE) Price Index of 3.3% for Q4 2025, largely driven by tariffs [8]