Back in 1980, Ronald Reagan asked, “Are you better off than you were four years ago?”On Tuesday, millions of Americans will answer for themselves whether they are better off than they were two years ago, when they vote in the midterm elections.Top of mind for many Americans: the economy.In a recent NBC News Decision Desk Poll, the economy ranked as the issue that matters most to voters and one on which a majority say they are deeply frustrated with President Donald Trump.Here are the five charts that explain why.The cost of livingAt the start of Trump’s second term, paychecks were rising faster than prices.
But consumer prices have soared since the war with Iran started, and for the last six months, inflation has outpaced wage gains.In September, inflation jumped to 3.7%, while wages rose just 3% from a year ago, according to the Bureau of Labor Statistics.Gas pricesA big driver of those rising consumer prices: spiking energy costs as a result of the war with Iran.Regular gas prices averaged $3.12 per gallon when Trump started his second term and $2.98 right before the war, according to AAA.
Now they’re well above $4 — the highest regular gas prices have been just before an election.Diesel prices have surged to all-time highs in recent weeks.They were averaging $3.63 at the start of Trump’s second term and $3.75 when the war with Iran began.
Now they’re well above $6.And higher costs for diesel — which powers trucks, trains and tractors — typically spill into the rest of the economy.Mortgage ratesMortgage rates topped 7% in January 2025, but they fell over the first year of Trump’s second term.
The 30-year fixed rate dipped below 6% just before the Iran war, according to Freddie Mac.Since then, mortgage rates have soared — with the 30-year fixed rate well above 7% now.
The 15-year fixed rate has spiked, too, jumping above 6%.Home pricesHistorically speaking, it’s not uncommon to see U.S.mortgage rates above 7%.
But paired with averag...