Former President Donald Trump and Vice President Kamala Harris have presented contrasting economic plans that aim to address affordability and economic growth, key concerns for voters. Both candidates have proposed measures that would require congressional approval, a challenging task given the current political climate in Washington.
One notable aspect is the lack of emphasis on reducing the national debt in both candidates' agendas. Harris' plan could increase the debt by nearly $4 trillion over the next decade, while Trump's platform might lead to a spike of around $7.8 trillion, according to a report from the Committee for a Responsible Federal Budget.
Notably, 23 US Nobel Prize winners in economics have endorsed Harris' agenda over Trump's, citing it as 'vastly superior' in a recent letter.
Trump's signature achievement, the 2017 Tax Cuts and Jobs Act, faces expirations at the end of 2025, including cuts to individual income taxes and the estate tax. Harris aims to extend some individual tax cuts while rolling back tax cuts for the wealthiest Americans.
Harris proposes tax hikes on wealthy individuals, including raising the long-term capital gains tax rate and implementing a billionaire minimum tax. She also plans to increase the corporate tax rate from 21% to 28%. In contrast, Trump seeks to extend all individual income and estate tax cuts from the 2017 law and lower the corporate tax rate to 15% for certain companies.
Both candidates have put forward measures to provide tax relief to different segments of the population. Harris plans to offer tax relief to 100 million Americans, focusing on the middle class, by reviving or extending temporary measures enacted by Biden and congressional Democrats.
Additionally, Harris aims to strengthen the care economy by proposing Medicare coverage for home health aides and expanding coverage for hearing aids and eye exams. She also supports raising the federal minimum wage to at least $15 an hour.
On the other hand, Trump has proposed measures such as capping credit card interest rates, making car loan interest tax-deductible, and providing a tax credit for family caregivers. He also plans to impose tariffs on imports to boost American manufacturing.
While both candidates have outlined their economic visions, the feasibility and impact of their proposals remain subjects of debate as the election approaches.
