PIVOT Explainer: How Is The American Economy Doing?

August 21, 2025

The economy was a major factor leading to the election of Donald Trump as U.S. President. After six months, there are concerning signs that the economy is not doing well. Disturbingly, the administration is trying to cover up unfavorable data.

The gross domestic product (GDP) shows how much the economy produces. The GDP increased by 3% from April to June. Most of the growth was in the artificial intelligence sector. The lack of growth in other sectors where most Americans work is worrisome. 

The stock market has risen since the big decline in April. This is good news but mostly for wealthy Americans. The richest 1% of Americans own 50% of the stock, and the richest 10% own 88%. Almost 40% of Americans own no stocks. 

Prices are trending in the wrong direction, going up 2.7% in June compared with the year before. The price of food went up 2.9%, and half of Americans say that the price of food is a major source of stress in their lives.  The price of eggs, a topic that Republicans focused on in the 2024 elections, is 16% higher compared to July 2024.

The producer price index (PPI) measures what sellers pay to producers. In July, the PPI grew at the highest rate since June 2022. This index predicts that consumer prices will go up even higher. Consumers only paid about 22% of the tariff costs in June. This may go up to 67% by the end of the year. 

For July 2025, the job report showed a gain of only 73,000 jobs compared to an expected 104,000. The Bureau of Labor Statistics also revised the June report down to only 14,000 new jobs gained. 

Manufacturing jobs declined. Healthcare was the only sector with significant gain. However, that sector will have fewer jobs due to new laws restricting Medicaid.

The data show that the Trump administration is making the rich richer and life harder for the rest of us. What did he do about it? He fired the leader of the Bureau of Labor Statistics. 

This irresponsible action means that future job reports will not be reliable. Uncertainty about data usually makes corporations more reluctant to invest. This will slow the economy and increase unemployment. This will not help Americans but will help hide the data that show Trump only cares about rich people. 

The lack of accurate data will increase distrust in the government. Make Trump accountable. Let us fight for accurate data and for average Americans by opposing him and his harmful policies.