Republican lawmakers are saying that Americans are willing to endure higher prices as a trade-off for Donald Trump’s policies, despite growing concerns over inflation.
Why It Matters
It comes after Trump said his threatened tariffs on China, Mexico and Canada will go into effect from today, in a move that could lead to a rise in inflation. Goldman Sachs previously estimated these tariffs could increase inflation by 1 percent while squeezing U.S. company profits and risking retaliatory measures from other nations.
Meanwhile, according to a Labor Department report, inflation is already hitting the economy, January seeing the largest consumer price increase in nearly 18 months.
What To Know
Senator Markwayne Mullin told CNN that “of course” he’s worried tariffs could impact his state of Oklahoma but argued that his constituents are willing to “do what it takes” to support the president’s policy.
“I think our constituents are going to do what it takes to get America back on track. We’re tired of countries taking advantage of us,” he said.
Representative Mark Alford of Missouri also chimed in, telling CNN that he is “all for” paying higher prices to “get America right again.”
“We all have a role to play in this to rightsize our government, and if I have to pay a little bit more for something, I’m all for it to get America right again, to start whittling down” the debts, he said.
Asked if he thinks his constituents feel the same way about shouldering some of the costs, Alford said: “I think so.”
What The Polls Say
Polls have suggested that Americans are divided over whether they approve of Trump’s tariffs. A Reuters/Ipsos survey conducted between February 12 and 18 found 54 percent of respondents opposed new tariffs on imported goods from other countries, while 41 percent were in favor. Increasing tariffs on Chinese goods had higher levels of support, 49 percent in favor and 47 percent against. The poll questioned 4,145 U.S. adults nationwide and had a margin of error of plus or minus 2 percentage points.
Jacquelyn Martin/AP
Other polls have shown Trump’s approval rating on the economy is dropping, suggesting Americans are concerned about potential inflation and cost of living increases.
The Reuters/Ipsos poll found 53 percent of Americans believe the economy is on the wrong track, up from 43 percent from its January 24 to 26 poll. Additionally, a memo from Trump’s top pollster Tony Fabrizio and his partner, Bob Ward, this month said their polling found 59 percent of voters in 18 swing districts are concerned about their personal financial situation, including 61 percent of swing voters and 53 percent of President Donald Trump‘s voters.
A recent Gallup poll, which surveyed 1,004 Americans between February 3 and 16, showed Trump’s approval rating on the economy at 42 percent, with 54 percent disapproving, amounting to a net approval rating of minus 12 points.
Gallup noted that Trump’s rating is lower than any president’s first term February reading in recent history, including those for Joe Biden (54 percent), Barack Obama (59 percent), George W. Bush (53 percent) and Bill Clinton (45 percent).
This may be a worrying sign for Trump, who vowed during his campaign that inflation would “vanish completely” when he returned to the White House.
What People Are Saying
Senator Markwayne Mullin told CNN: “Are the American people ready to get the country back on track and do what it takes to make that happen? Absolutely … It’s going to affect a lot of companies. We’re going to have to adjust some prices for it, but the president is tired of people taking advantage of our country,” he said.
Asked if his constituents are ready to pay higher prices, Mullin said: “I think our constituents are going to do what it takes to get America back on track. We’re tired of countries taking advantage of us.”
Representative Mark Alford told CNN tariffs are “going to have an impact,” particularly on farmers, though he said he expects some “offsets” to the costs by increasing domestic energy production. “We all have a role to play in this to right size our government, and if I have to pay a little bit more for something, I’m all for it to get America right again, to start whittling down” the debts, he said.
Asked if he thinks his constituents feel the same way about shouldering some of the costs, Alford said: “I think so.”
“Look, we have lived under the oppression of Joe Biden’s hyperinflation for some years. We’ve seen some corrections in that, there’s ups and downs, but this economy is going to start churning,” he said, expressing hope that people will “have more money to invest to spend.
“And it’s just going to take a little patience on the front end,” he said.
What Happens Next?
The impact of Trump’s tariffs is expected to be felt on American consumers as well as on the global economy. Countries such as Canada and Mexico, whose economies are intertwined with the U.S. and rely heavily on trade with their powerful neighbor, are expected to suffer dramatically from the new policies.
The Washington-based think tank Tax Foundation estimated that the imposed tariffs on China would reduce long-run GDP by 0.1 percent, while the proposed tariffs on Canada and Mexico would shrink it by 0.3 percent. That does not account for foreign retaliation.