Trump vows ‘income will soar’ and ‘inflation will disappear’ in second term

MILWAUKEE — In his speech accepting the Republican nomination Thursday night, Donald Trump promised that during his potential second term, “incomes will soar,” “inflation will disappear” and the Federal Reserve will “lower interest rates.”

The 78-year-old former president outlined his economic plans, including eliminating the tip tax and tariffs on other countries, while slamming President Biden’s economic management.

“Under Biden’s administration, we’ve had the worst inflation ever,” he said of his Nov. 5 rival, not mentioning Biden by name. “Inflation has been a killer in our country. It doesn’t matter how much money you make because inflation is eating you up.”

“People who were saving, they were making high money – the highest they’ve ever made – but they saved a lot and now they’re ruined. They saved nothing, they barely made ends meet, they had money in savings accounts and because of inflation, they’re taking it out to live,” he added.

Trump also called on the state to “provide economic relief to our citizens” and promised that “starting on day one, we will lower prices and make America affordable again.”

“During the (President Biden) administration — we’ve had 50% more grocery prices, 60% and 70% more gas prices, mortgage rates have quadrupled, and the reality is it doesn’t matter because you’re not getting the money anyway,” he said. “Total household costs have increased by an average of $28,000.”

Trump said his economic plan would “lower prices, and lower prices very, very quickly.”

“By cutting energy costs, we in turn cut costs for transportation, manufacturing and all household goods. A lot of things start with energy. Remember, we have far more liquid gold beneath our feet than any other country – we are a country with opportunities to make a lot of money with energy – China does not,” he said.

Trump touted his 2021 tax cut bill, saying “I’m going to give you more.”

“We are going to end this ridiculous and unbelievable waste of taxpayer dollars that is fueling an inflation crisis. They are spending trillions of dollars,” he said. “All those trillions that have not been spent will be redirected to important projects like roads, bridges and dams, and we are not going to allow that money to be spent on a pointless green new scam.”

Trump said he would also roll back a Biden-era federal policy that encouraged automakers to make half of new cars sold zero-emission by 2030.

“I will end the electric vehicle mandate on day one — thereby saving the American auto industry from the total destruction it is currently experiencing and saving American consumers thousands of dollars per vehicle,” he said.

“I will bring auto jobs back to our country through the judicious use of taxes, tariffs, and incentives, and will not allow massive auto plants to be built in Mexico, China, or other countries that then ship products back to America, taking our jobs and leaving our companies and autoworkers in dire straits,” he said.

He said if automakers created jobs elsewhere he would make the cars “unsaleable” with tariffs of 100% or 200%.

Trump said the United States was “being taken advantage of by other countries” – while Democrats argued that the new tariffs would lead to higher prices.

“We’re not going to allow other countries to come in and take our jobs and plunder our country. The way they sell products in America is to make them in America and only America,” he said.

Trump has touted his plan to implement a “tax-free” tip policy, which he said was inspired by a waitress in Nevada.

“I said to her, let me ask you a question, ‘Would you be happy if there was no tax on tips?'” he recalled.

“I will protect Social Security and Medicare — the Democrats will destroy Social Security and Medicare,” he continued.

“Under my plan, incomes will soar, inflation will vanish, jobs will come roaring back, and the middle class will prosper like never before.”

Biden, 81, has often criticized Trump for causing job losses during the pandemic during his final year in office. Comparing him to Herbert Hooverwho was president at the start of the Great Depression.

During Trump’s administration, the unemployment rate was 3.5%, the lowest level since 1969. according to Federal data – February 2020, a month before the pandemic reached the U.S. It fell further to a low of 3.4% last year under Biden, before rising slightly.

Inflation-adjusted incomes have fallen under the Biden administration as consumer costs have surged due to inflation 20% During the term of the current president.

Median household income increased after adjustment for inflation 8.5% During the first three years of Trump’s administration.

According to data from the U.S. Bureau of Economic Analysis, per capita disposable personal income fell 9.04% during Biden’s administration compared with the first quarter of 2021 and the first quarter of 2024. data.