Economic Overview - The U.S. economy is showing mixed signals with strong GDP growth and record stock market highs contrasted by weak job reports and rising inflation [1] - President Trump's tariffs are causing concerns regarding their impact on consumer prices, GDP growth, and the labor market [1] GDP Growth and Economic Projections - Tariffs could lead to a GDP growth decline of approximately 0.9 percentage points by 2025, with long-term effects potentially reducing annual real GDP by about 0.6% [3] - A long-run GDP drop of around 6% is projected, along with wage reductions of roughly 5% [3] Inflation and Consumer Prices - Tariffs are expected to raise inflation by about 0.4 percentage points in both 2025 and 2026, reducing household and business purchasing power [4] - Tariffs are described as functioning like taxes, leading to higher business costs that are typically passed on to consumers [4] Labor Market Trends - There is a sustained slowdown in job creation, with only 22,000 jobs added in August 2025 and a decline of 12,000 manufacturing jobs [5] - Unemployment rose to 4.3%, the highest level since 2021, indicating ongoing job losses in sectors such as manufacturing, mining, and construction [5][6] Financial Market Reactions - Stock markets reacted sharply to the announcement of broad tariffs in April 2025, with significant declines in both the S&P 500 and Nasdaq [7] Revenue vs. Economic Costs - While tariffs are generating significant federal revenues, economic models suggest that the losses in GDP and wages outweigh these gains [8]

Economic Overview - The U.S economy experienced job losses in June [1] Political Context - Joe Biden is the only U.S president on record who never presided over job losses during his term in office [1]

Hundreds of thousands of European jobs might be on the line if Trump’s trade war encourages China to ship its goods to the old continent, research by the ECB shows https://t.co/2n1xtZtW4K ...

A recent study showed that by 2034, the annual economic impact of cuts to Medicaid are estimated to result in more than 400,000 jobs lost and $183 billion in reduced economic output. https://t.co/ZPgFhFPA8o ...