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The Cost of Dysfunction

Our nation is facing an economic crisis and government is making it worse - not better - for millions of American families dealing with skyrocketing prices.  From tariffs that hurt small business to Medicaid cuts that make healthcare unaffordable, the cost for Americans are too high.

A LOOK AT THE DATA 

$3,800

Average Amount American Families will pay from Tariffs 

(Budget Lab)

58%

Percentage of Small Business Owners concerned about Inflation

(US Chamber Small Business Index)

60%

Percentage of Americans who worry "a great deal" about the economy

(Gallup April 2025)

31%

Percentage that food prices have increased since 2019

(Nerd Wallet)

$14,570

Average Amount Spent per American on Health Care

(CMS Release, 2024)

29 million

Number of Americans who cannot afford or access affordable health care 

(Gallup, April 2025)

Jobs

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Finding and keeping a good job in America is more difficult in the current economy.  According to Newsweek, analysts are seeing layoffs in aerospace, healthcare, and property management. "And it's not just one region. These cuts are happening across multiple states and sectors of the economy."

 

  • CBS: Mack Trucks layoffs to impact up to 350 employees in Lehigh Valley, Pennsylvania (April 2025)

  • AP: UPS to Lay off 20,000 workers, close some facilities (May 2025)

  • Axios: Microsoft to layoff 6,000 employees despite strong earnings report (May 2025)
    Yahoo: Southwest Airlines moving forward with mass layoffs (April 2025)

The Economy

Ship - Mika Baumeister.avif

American families are facing an affordability crisis with Trump’s reckless tariffs are raising costs for working families across the country. Everyday necessities from clothing to coffee will be subject to tariffs.  The 25 percent tariff on cars is expected to raise their prices by $4000.

 

  • Yale Budget Lab: Average household will pay $3,800 more per year because of tariffs

  • JP Morgan: Trump’s tariffs are the largest US tax hike since 1968

  • NBC News: Trump’s tariffs will hit lower-income households hardest

  • Intuit: 82% of Americans believe Tariffs will affect everyday goods and half of American consumers have changed their spending habits in anticipation of tariffs. 

Photo: Mike Baumeister

CNBC: America's small businesses preparing for recession with tariffs

Groceries

It's not just the price of eggs - Americans have sticker shock every time they buy food.  The US Department of Agriculture predicts grocery prices will increase by 3.3% in 2025 which is higher than the historical average. 

 

  • States with highest grocery story price increases:

    • California: +3.9%

    • Pennsylvania: +3.5%

    • Nevada: +3.5%

    • Delaware: +3.4%

    • New Mexico: +3.3%

Grocery-Frank Chamaki.avif
trump grocery.jpg

“A vote for Trump means your groceries will be cheaper.” - President Donald Trump, Nov. 4, 2024

Reuters: 70% including nine in 10 Democrats and six in 10 Republicans — said they expected higher tariffs will make groceries and other regular purchases more expensive. (March 2025)

Photo: Frank Chamaki

Affordable Housing

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“We will eliminate regulations that drive up housing costs with the goal of cutting the cost of a new home in half. We think we can do that.” - President Donald Trump, September 5, 2024

Mortgage rates have fallen below 7% after hitting their highest peak in years, but increased borrowing costs make it cheaper to rent than buy for many American families. 

 

Those who can afford to buy are faced with unaffordable housing prices that have increased by 47% since 2020.  Meanwhile, new housing starts are expected to stagnate as a result of tariffs that will increase the costs of raw materials like lumber needed for housing.

  • Fortune: New home construction is stalling as homebuilder sentiment sours over Trump’s tariffs, economists say

  • Yahoo Finance: Builder Confidence Drops in March to Lowest Level in 7 Months.

Affordable Health Care

Americans all agree that the cost of health care is too high.  Health care costs consistently outpace wage growth: According to the Kaiser Family Foundation, in 2024, the average family premium increased by 7% while wages grew 4.5%.

 

  • The Republican-led Congress plans to cut Medicaid - a vital program that provides insurance for those who cannot afford it including many children, seniors, and people with disabilities.

  • Many working families rely upon the exchange marketplace to purchase health care through the Affordable Care Act.  Those health plans are now more affordable as a result of subsidies that could expire under President Trump, raising costs for more than 3.8 million families according to the Congressional Budget Office.

doctor-unsplash.avif

“Prices will come down. You just watch: They’ll come down, and they’ll come down fast, not only with insurance, with everything.” - President Donald Trump, August 14, 2024

April 2025 - Gallup: In US, inability to Pay for Care, Medicine hits New High 

​

The percentage of U.S. adults who have recently been unable to afford or access quality healthcare has reached 11% -- equivalent to nearly 29 million people -- its highest level since 2021...

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