Economists predict rising inflation under Trump compared to Harris

In a recent survey conducted from October 4-8, 2024, economists expressed concerns about the potential economic impact of former President Donald Trump's return to office in the United States. The survey revealed that 68% of economists anticipate a more rapid increase in inflation under Trump's economic policies compared to those proposed by Vice President Kamala Harris. This marks a significant rise from 56% in a similar survey conducted in July. Additionally, 65% of respondents believe that Trump's policies would lead to a higher federal deficit, a notable increase from 51% in July. Economists attribute these concerns to Trump's proposed tariffs, which range from 10% to 20% on imports and could exceed 60% on Chinese goods. These tariffs are expected to raise consumer costs, with experts warning of potential inflation spikes. Philip Marey from Rabobank cautioned that if the tariffs function as economists predict, consumers may face unexpected financial burdens. The Committee for a Responsible Federal Budget estimates that Trump's economic plans could result in a $7.5 trillion increase in federal deficits over the next decade, more than double the anticipated increase under Harris's proposals. Trump's focus on reducing energy costs to combat inflation has also been a topic of discussion, although his plans for tax cuts and tariffs have raised red flags among economists. As the political landscape evolves, the implications of Trump's economic strategies remain a critical point of analysis for economists and policymakers alike, highlighting the potential for significant shifts in the U.S. economy should he regain office.