When President Donald Trump took office in January 2017, he promised to revitalise the American economy and create more jobs for the working class. One year on, the economy appears to be performing well, with strong growth figures and a booming stock market. However, a closer examination reveals a more complex picture, where the benefits of this economic success are not being equally shared across society.
The US economy grew by 2.3% in 2017, exceeding many analysts’ expectations. The unemployment rate has dropped to 4.1%, the lowest level in 17 years. The Dow Jones Industrial Average has reached record highs, and consumer confidence is at its strongest since 2000. On the surface, these indicators suggest that Trump’s economic policies have been effective in stimulating the economy.
Yet, this rosy outlook masks the underlying tensions and inequalities that have been exacerbated during Trump’s first year in office. The gap between the wealthy and the poor has continued to widen, with the top 1% of earners now accounting for over 20% of the country’s total income. Meanwhile, wage growth has remained stagnant, failing to keep pace with the rising cost of living.
“The economy may be growing, but the benefits are not being shared equally,” says Dr. Emily Thornton, an economist at the University of Chicago. “The wealthy are getting richer, while the middle class and the poor are struggling to make ends meet.”
This disparity is particularly evident in the job market. While the overall unemployment rate has declined, the gains have been disproportionately concentrated in high-skilled, high-paying sectors, such as technology and finance. Low-wage workers in industries like retail and hospitality have seen little improvement in their prospects.
Moreover, the Trump administration’s policies, such as the recent tax overhaul and the rollback of environmental regulations, have been criticised for disproportionately benefiting the wealthy and large corporations, while doing little to address the needs of the working class.
“The Trump administration’s economic policies have been heavily skewed towards the interests of the wealthy and the corporate elite,” says Sarah Williamson, a political analyst at the Brookings Institution. “This has only served to exacerbate the existing inequalities in the system.”
As the US economy enters its tenth year of expansion, it is clear that the prosperity is not being shared equally. The challenge for policymakers will be to find ways to ensure that the benefits of economic growth are distributed more evenly, and that the needs of the working class are not overlooked in the pursuit of corporate profits and stock market gains.
