As Americans prepare to cast their votes in the upcoming midterm elections, the economy is at the forefront of their minds. Economic challenges have intensified, with soaring inflation and rising prices significantly impacting daily life. A recent NBC News Decision Desk Poll indicates that frustration over economic conditions is influencing voter sentiment, particularly towards President Donald Trump.
These economic concerns can be illustrated through five key charts that highlight the current landscape. Voters are asking themselves critical questions reminiscent of Ronald Reagan’s famous 1980 inquiry: “Are you better off than you were four years ago?”
The Rising Cost of Living
Since the onset of Trump’s second term, Americans have witnessed a shift in their purchasing power. While wages initially kept pace with inflation, recent months have seen a troubling trend: inflation outstripping wage growth. As of September, inflation surged to 3.7%, while wages only increased by 3%, according to the Bureau of Labor Statistics.
Escalating Gas Prices
One major contributor to rising consumer prices is the significant increase in energy costs, largely attributed to ongoing geopolitical tensions. Upon Trump’s assumption of office, average gas prices hovered around $3.12 per gallon. However, recent spikes have pushed prices above $4, marking the highest levels just prior to an election.
Mortgage Rates and Housing Affordability
Another critical economic factor is the state of mortgage rates. After peaking over 7% in January 2025, rates initially fell but have now climbed back above 7% following the Iran war. These rising rates, coupled with a staggering 57% increase in home prices since January 2020, have left many potential buyers feeling priced out of the market.
Stock Market Performance
Despite these economic challenges, the stock market has seen remarkable growth, with the S&P 500 index rising over 26% during Trump’s second term. However, this wealth accumulation is not evenly distributed, highlighting a growing divide between Wall Street and Main Street. While investors have benefited, many Americans struggle with everyday expenses.
As voters head to the polls, the overarching question remains: how will these economic factors shape their decisions? The answers could significantly influence the direction of the upcoming midterm elections.
Photo credit: Stephen Maturen
