President Trump pinned the blame on Democrats for inflation in his State of the Union address Tuesday night.
“You caused that problem,” he said, looking toward the Democratic side of the aisle in the House chamber.
“I knew their statements were a lie. They knew they knew their statements were a dirty, rotten lie. Their policies created the high prices,” Mr. Trump said. “Our policies are rapidly ending them. We are doing really well. Those prices are plummeting downward.”
He said that the Democrats sitting in the audience caused high prices, but they now tout the word “affordability.” The president called it “a word they just used, somebody gave it to them, knowing full well that they caused and created the increased prices that all of our citizens have to endure.”
The cost of living is expected to be a hot topic in campaign rhetoric during this year’s midterm elections.
Mr. Trump cited an October 2022 analysis by economists Stephen Moore and E.J. Antoni, highlighted by the House Ways and Means Committee, that said the average American household lost approximately $34,000 in purchasing power due to inflation since January 2021.
The number is part of broader, sometimes disputed, analyses regarding the cumulative impact of inflation under the Biden administration.
Prices for consumer goods and services were about 2.4% higher in January 2026 than a year earlier, according to the Bureau of Labor Statistics. Monthly price increases were modest — about 0.2% to 0.3%.
Inflation has come down from a pandemic-era high of 9.1% but is not fully back to the Federal Reserve’s long-run 2% goal. Consumer prices continue rising modestly, and core inflation remains a focus.
