Is This Economy as Awful as Voters Think? We Ask Our Expert.

The U.S. economy faces a persistent affordability crisis as voters head to the midterms, despite pockets of strength in business investment and low unemployment. Inflation remains a primary concern, exacerbated by tariffs and geopolitical instability, such as the conflict with Iran, which spiked energy costs. High interest rates, intended to curb inflation, have significantly hindered housing accessibility, leaving many prospective buyers unable to enter the market. While the labor market remains stable, wage growth has stagnated, failing to keep pace with the rising cost of living. This economic malaise is further complicated by a generational divide, where older generations with accumulated wealth contrast sharply with younger individuals struggling to secure financial stability. Ultimately, these structural issues persist regardless of political promises, as the federal government remains constrained by high debt-servicing costs.