Trump and Harris: Diverging Economic Visions for America's Middle Class

The economic strategies of Donald Trump and Vice President Kamala Harris highlight their distinct approaches to aiding America's middle class. Trump advocates for extensive tax cuts and higher tariffs to stimulate growth, while Harris aims to increase taxes on the wealthy to fund housing and childcare benefits. Both plans could significantly impact federal deficits and the economy.

Donald Trump is betting that Americans crave trillions of dollars in tax cuts — and that growth will be so fantastic that it's not worth worrying about budget deficits.

Kamala Harris believes that big corporations and the ultra-wealthy should pay more in taxes and wants to use those revenues to build 3 million homes and offer tax breaks for parents. Harris aims to deliver on policies that President Joe Biden has struggled to make permanent.

The two presidential nominees are sharpening their economic messages for the middle class ahead of their debate. Harris will outline her policies in Portsmouth, New Hampshire, while Trump will address the Economic Club of New York. Historically, the economy has been a crucial factor in presidential elections. A recent survey by The Associated Press-NORC Center for Public Affairs found that 45% of Americans believe Trump would handle the economy better, while 38% support Harris.

The stakes are high as the winner could overhaul the federal tax code when parts of Trump's 2017 tax cuts expire next year. Trump and Harris offer contrasting visions for middle-class support, with Trump focusing on tax cuts for businesses and the wealthy to spur investment, while Harris seeks to boost homeownership and alleviate parenting costs with targeted tax breaks.

Trump's proposals include no taxes on tips or Social Security, potentially costing USD 1.2 trillion over 10 years and risking Social Security funding. Meanwhile, Harris' plans, modeled on Biden's budget proposals, aim to be fully funded, although they could add USD 2.3 trillion in spending.

(With inputs from agencies.)