The consumer price index, a critical measure of inflation, heavily relies on housing costs, which constitute approximately one-third of its total calculation. Following a government shutdown, the Labor Department released its report on November prices, but many economists caution that the data may not accurately reflect true economic conditions. The shutdown hindered the collection of essential data, raising concerns that the reported decrease in inflation could underestimate actual consumer price changes. Additionally, the absence of an October report further complicates the reliability of future inflation assessments, as these data issues are expected to persist for several months.

In Capac, Michigan, a food pantry has become a focal point for residents struggling with high prices. Volunteers distribute essential items, such as lettuce and apples, which have seen significant price increases this year. Local resident Taylor Ludwig expressed disappointment in President Donald Trump's handling of inflation, indicating that continued economic struggles could influence her voting decisions in the upcoming congressional elections. The county of St. Clair, where Capac is located, has a predominantly white population of around 160,000, with an economy reliant on auto suppliers and manufacturing. Many residents report feeling economically marginalized due to limited access to well-paying jobs.

While inflation has moderated in the Detroit metropolitan area, the cost of basic goods remains a concern, with some staples experiencing double-digit price increases. Some interviewees attributed their financial hardships to the policies of Democratic former President Joe Biden, yet others expressed a willingness to consider Democratic candidates if economic conditions do not improve. Bob Benjamin, a retired auto worker, noted that he would evaluate his voting decision based on the economic situation in the coming year.

Economists suggest that the president has limited ability to influence inflation directly, and Trump's tariffs may contribute to higher consumer prices. The White House has characterized the current economic challenges as a crisis exacerbated by Biden's policies, while Democrats are preparing to leverage rising prices as a campaign issue in the 2026 elections. Democratic candidates are framing Republican Senate candidate Mike Rogers as disconnected from the economic realities faced by constituents, branding him as 'Price Hike Mike.' This strategy aims to highlight perceived indifference among wealthy politicians regarding the struggles of everyday Americans.

In a related development, Kevin Hassett, Director of the National Economic Council, stated that President Trump's proposal to provide $2,000 checks to Americans, funded by tariff revenue, will depend on Congressional action. Hassett indicated that the president is expected to present a formal proposal to Congress in the new year. Since July, Trump has suggested a rebate for certain Americans based on tariff income, stating on social media that a dividend of at least $2,000 per person would be distributed, excluding high-income individuals. Treasury Secretary Scott Bessent mentioned that these checks would likely target households earning less than $100,000, although discussions are ongoing.

Hassett emphasized that Congressional approval is necessary for the distribution of these funds, which would be processed through the tax code and require new legislation to authorize the Treasury Department to issue the checks. He noted positive economic indicators, including nearly 4% growth in recent quarters, a government surplus, and a $600 billion reduction in the deficit compared to the previous year, suggesting that the economic environment may support the feasibility of such checks. The funding for these checks is proposed to come from tariff revenue, with Hassett explaining that various sources of revenue, including taxes and tariffs, contribute to government spending decisions made by Congress. The president has defended tariffs as a key policy of his administration, claiming they have generated new revenue and stimulated investment in U.S. manufacturing. Hassett pointed to the success of tariffs in achieving high growth, reducing the trade deficit, and decreasing imports from China, while also acknowledging the need for potential adjustments based on feedback from trading partners and companies. Hassett mentioned that there is interest in exempting certain items from tariffs, particularly those not intended for U.S. production, citing climate considerations. U.S. Trade Representative Jamieson Greer is reportedly leading this initiative. Additionally, Hassett expressed confidence that the Supreme Court will support the administration's authority to impose tariffs under federal emergency powers, a legal basis the administration has utilized to apply duties on nearly all U.S. trading partners.