Trump's midterm trouncing underscores inflation's political poison
SPY•Democrats won control of both chambers of Congress in a midterm rout of Trump's Republican Party, as inflation and affordability concerns weighed on voters despite 3.4% annualized third-quarter growth and 4.2% unemployment. Diesel topped $6.50 a gallon in September and gasoline exceeded $5 in June.
1. Prices weighed on voters
The Republican Party suffered a crushing defeat in the midterm elections, with Democrats taking control of both the House and Senate. The result came as Trump faced near-record-low personal approval and economic trustworthiness ratings, with voters focused on his handling of the economy.
2. Energy costs surged
The article links voters' affordability concerns to inflation that had remained above target for almost six years, tariffs and energy price increases after the Iran war began on February 28. Average diesel prices rose above $6.50 per gallon in September, a record, while gasoline topped $5 per gallon in June.
3. Inflation and approval
The US economy grew at a 3.4% annualized pace in the third quarter, unemployment was 4.2%, and the stock market had reached an all-time high less than a month before the election. Studies cited in the column differ on whether inflation or unemployment weighs more heavily on well-being, but the author says the election suggests voters prioritized inflation.
