On Wednesday evening, President Donald Trump delivered an 18-minute speech highlighting various claims regarding the economic, military, and societal impacts of his second administration. While some statements contained elements of truth, others were misleading or incorrect. This article aims to provide clarity and context on eight key claims made by Trump, utilizing data and insights from credible sources.
Trump asserted that "wages are going up much faster than inflation." While it is true that wages have been rising, the pace has slowed significantly in recent months. In January, average wage growth was at a rate of 4.1%, but by the recent Bureau of Labor Statistics report, this figure had dropped to 3.5%. Currently, inflation stands at 3.0% and has been consistently increasing since April. It's important to note that during the Biden administration, although inflation rates were higher, wages still managed to keep pace with rising costs, particularly for lower-paid workers.
Addressing immigration, Trump claimed that under former President Joe Biden, "our border was open" and that the U.S. was facing an "invasion" of 25 million people. This assertion is misleading. According to Customs and Border Protection, approximately 7.4 million undocumented immigrants crossed the border outside of legal checkpoints during Biden's term. Even when including those who crossed legally but without documentation, the total reaches only 10.2 million. Furthermore, about 800,000 immigrants entered the country through legal programs established under Biden, such as protected status for residents from various countries.
Trump also claimed that "the price of eggs is down 82% since March." This statement is inaccurate. Government Consumer Price Index data reveals that egg prices have actually decreased by only 43.9% during the same period. Although some prices may be falling, many consumer goods continue to rise in cost. The Bureau of Labor Statistics has not yet released inflation data for the past two months due to the ongoing government shutdown.
Regarding fuel costs, Trump stated, "gasoline is now under $2.50 a gallon in much of the country," claiming that some states even saw prices drop to $1.99. While it is accurate that gasoline prices are decreasing, the average price cited by Trump is incorrect. The federal Energy Information Administration reports that the average regular gasoline price is approximately $2.89, with the AAA reporting a similar national average of $2.90. While some stations in a few states may offer lower prices, these instances are not representative of the national average.
Trump claimed that "the price of a Thanksgiving turkey was down 33% compared to last year." However, data from the Wells Fargo Agri-Foods Institute indicates a much smaller decrease, with national brand turkey prices down only 3.7%. Overall, the cost of a Thanksgiving meal this year has fallen by about 2% to 3%.
Trump proclaimed, "I’ve secured a record-breaking $18 trillion of investment into the United States." This figure has been widely contested and is considered inflated. The White House's own records indicate that the actual investment amount is around $9.6 trillion. Other analyses suggest the figure may be closer to $7 trillion, as many of the investments cited are vague pledges rather than confirmed deals.
In his speech, Trump claimed that "since I took office, 100% of all net job creation has gone to American-born citizens." This statement oversimplifies complex labor market dynamics. The number of foreign-born and native-born workers fluctuates based on various factors, making absolute comparisons challenging. Recent statistics show that while the unemployment rate among native-born workers increased from 3.9% to 4.3%, the rate for foreign-born workers slightly decreased from 4.5% to 4.4%, indicating that Trump's policies may have had different impacts on these groups.
Finally, Trump claimed that he "negotiated directly with drug companies to slash prices on drugs by as much as 400%, 500%, and even 600%." However, substantial evidence to support these claims is lacking. While some agreements have been made, they do not seem to reflect the dramatic reductions Trump described. For instance, Pfizer announced a deal to lower costs by "on average 50%," with potential savings of up to 85%, which falls short of the massive reductions claimed by Trump. Additionally, various agreements remain contingent on terms that have yet to be finalized.
In conclusion, while President Trump's speech touched on several important issues, many of his claims require further scrutiny. It is vital for the public to have access to accurate information regarding economic policies, immigration, and healthcare prices to make informed decisions.