US Economy Experiences Weak Momentum Amid Policy Changes in 2025
At a rally in Mount Pocono, Pennsylvania on 9 December 2025, former President Trump promised a new golden age with results expected within six months to a year.
However, the US economy in 2025 showed weaker momentum compared to previous years. Average job growth through November was about 55,000 per month, down sharply from 168,000 in 2024. Payroll data revealed losses of 105,000 jobs in October and gains of 64,000 in November, reflecting delayed figures.
Unemployment rose to 4.6% in November 2025, marking the highest rate in over four years. Manufacturing employment remained stagnant, with factory jobs increasing in only two of ten months following Trump's return to office.
Tariffs saw a significant increase, with the average effective tariff rising from 2.4% to 16.8%, the highest since 1935. The rollout of these tariffs has been erratic and described as painful by White House aides.
Inflation persisted, with the Consumer Price Index (CPI) up 2.7% year-over-year in November 2025. Economists warn that the tariff boost may continue to impact prices, and current forecasts suggest economic growth around 2% for both 2025 and 2026.
In response, the administration has implemented measures including lowering tariffs on some imports, providing $12 billion in aid to farmers, and discussing stimulus plans funded by tariffs. The proposed 'One Big Beautiful Bill Act' is cited as a planned fiscal stimulus. During the rally, signage promoted messages of lower prices and bigger paychecks, though analysts remain skeptical about the prospect of a broad-based economic boom benefiting most Americans in 2026.
