Washington, D.C. — Today, the Center for American Progress released a new analysis looking at the combined distributional impact of President Donald Trump’s tariffs and new policies in his marquee One Big Beautiful Bill Act. The analysis relies on data from the Congressional Budget Office, Joint Committee on Taxation, and Budget Lab at Yale.
The analysis finds that relative to 2025, American households in the bottom 99 percent, on average, will have less after-tax income in 2027 and American households from all income groups, on average, will be worse off starting in 2029, when several temporary policies in the One Big Beautiful Bill Act are set to expire and when some of its cuts turn on or phase in.
“The president and congressional Republicans who supported the bill want to ‘Etch A Sketch’ away the Big Beautiful Bill brand, but this analysis reveals that, no matter what you call it, on average, American households in nearly every income group will be worse off than they currently are under the president’s economic agenda,” said Corey Husak, director of tax policy at CAP and author of the column. “His policies take money out of Americans’ pockets while enriching the top 1 percent by nearly $5,000 a year in 2027,”
Read the column: “New Trump Administration Policies Will Decrease Average Incomes for All Americans Except the Top 1 Percent” by Corey Husak
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