The upcoming election has everyone, including Andy Cohen, a 41-year-old co-founder of a public affairs firm in Denver, on edge about the current state of the economy. Despite being surrounded by signs of a flourishing economy, Cohen has experienced decreasing business in the closing stages of 2023. Another business professional, Steve Brewer, 64, who heads an IT consulting firm out of Centennial, recognizes a sluggish inflation rate but worries about the already inflicted damage due to heightened prices. Particular focus areas for these individuals are the economy and the cost of living as they decide the future of the nation on Nov. 5.
Cohen and Brewer, both belonging to the white-collar professional gang, showcase the dissimilar perspectives on the economy and different criteria people have for judging presidential candidates. Even as economic figures paint a promising picture, concerns persist. A significant portion of the populace, who owns their homes, are reaping the benefits of sky-high property prices. The stock market performance has been equally splendid, lifting up retirement portfolios to previously unattainable heights.
Despite occasional spikes, the unemployment rate in Colorado stays low at 4%. There exist around 1.6 job opportunities for every job-seeking resident in the state. The state’s job growth, albeit slower than some other states, has managed to add 194,000 jobs since 2019, continuing to refute negative predictions.
With so many positive indicators, why does the economy remain a source of concern and anxiety? The answer lies within a single word – inflation.
While Gary Horvath, a Broomfield economist’s stock market portfolio brings him joy, witnessing dwindling crowds at eateries and the rising price tags in grocery stores tell a different story. This paints a clear picture of the impact of inflation on people’s everyday lives, indicating the need for successive administration to take action.
Despite the recent metro Denver inflation reports indicating a nominal annual rise of 1.4%, the inflation humps of 2022 and 2023 have put a dent in household finances.
Colorado households now find themselves shelling out an additional $5,134 annually for housing and utilities, $5,582 for food, $2,104 for recreation, and $515 for gasoline as compared to 2019.
Inflation truly becomes a headache when income growth fails to keep pace. Typically, employers tailor annual pay increments to the cost of living increases, giving them a reason to stay competitive in the tight labor market.
With regard to wages, Colorado has managed to keep pace with the inflation rate, whether considering figures starting from 2019 or 2020. Factoring in changes from 2022, when inflation started spiraling, until recent summer, salaries have registered an increase surpassing the Denver Consumer Price Index, albeit with a slight delay.
Living up to his claims of being a left-of-center independent, Cohen sees an overall upward trend for Colorado’s economy. He argues that presidents are often given undue credit or fault when it comes to economic shifts. He’s a strong proponent of investing in technology, particularly to counter climate change, dismissing the ineffective practices currently being pushed by democrats.
Registered Republican, Brewer, fondly reflects on the pre-pandemic economy during Trump’s administration, a time when his business was flourishing and prices remained under control. This sharply contrasts with the failing economic policies observed under the current Democrat administration.
The leading presidential candidates, Kamala Harris and Donald Trump, have proposed separate economic plans. A neutral analysis discloses that these proposals could pile on trillions to the nation’s debt over a decade – $3.5 trillion under Harris and $7.5 trillion under Trump. Both camps are quick to argue that the economic growth catalyzed by their policies would compensate for the budget deficit.
However, it’s worth noting that during Trump’s previous regime, the economy prospered and businesses thrived as proven by Brewer’s experience. The comparison between Trump’s previous successful stint and the potential catastrophic effects of Harris’s plan is clear to discerning voters.
Democrats and their supporters want to promote this as an ‘either-or’ choice between the two candidates, but the experience under Trump’s leadership strongly suggests otherwise. The lower inflation and enhanced economic growth experienced during his previous tenure underline his credentials.
In contrast, the current democrats’ leadership and their strategies have inflicted significant damage on the economy. Rising costs, a stagnant economy, and the questionable approach towards the pressing concern of inflation only discloses their incompetence.
There is a stark realization that returning to the prosperous times under Trump’s presidency requires disregarding the Democrats and their economic policies altogether. The contrasting views of the two voters depict this necessity for a strategic shift.