Is America on the Right Track? Economic Uncertainty and Deepening Divisions in Trump’s Second Term

A month into Donald Trump’s second term, the United States is experiencing some of the most radical policy shifts in modern history. His administration has moved aggressively to cut federal spending, shrink the size of government and pivot towards a more isolationist foreign policy, while making sweeping changes to economic and immigration policy. Trump’s team has embraced a hardline stance on deportations, raised tariffs on imports from the US’s closest allies and called Ukrainian President Volodymyr Zelensky a “dictator” while siding with Russia, Belarus and North Korea in a controversial U.N. vote refusing to condemn Putin’s invasion of Ukraine.

These dramatic shifts have entrenched divisions across the electorate. While Trump’s base remains enthusiastic about his bold, nationalist agenda, opposition among Democrats and independents is intensifying. His administration has begun deep staffing cuts across the federal government, arguing that trimming bureaucracy will save taxpayers money, while critics warn that the loss of thousands of government workers will undermine essential services. Meanwhile, inflation and the rising cost of living remain the most unifying concerns across all demographics, raising questions about whether Trump’s economic strategy will ease financial pressures or further strain American households.

A Nation Divided: Right Direction vs. Wrong Track

Public sentiment about the direction of the country has shifted slightly downward, reflecting growing anxieties over economic instability, government restructuring and foreign policy decisions. The latest poll shows that 40% of Americans believe the country is heading in the right direction, a drop from 44% in the previous survey, while those who say the nation is on the wrong track have risen to 48%, up from 43%.

The gender divide remains stark, with 48% of men saying the country is on the right track compared to just 32% of women. This disparity has widened since the last survey, when 50% of men and 37% of women held a positive outlook. Young voters (18-24) remain skeptical, with only 37% believing the country is on the right track, down from 41%, while middle-aged voters (35-54) have shown a slight increase in optimism, with 43-44% expressing confidence, up from 40-42%.

Partisanship continues to heavily influence public perception. Among Trump voters, 74% believe the country is moving in the right direction, down slightly from 79% in the previous poll. In contrast, only 10% of Harris voters agree, dropping from 12%. A staggering 84% of Harris voters now say the country is on the wrong track, compared to just 14% of Trump voters. These figures underscore the entrenched political divide, with Republicans strongly backing Trump’s policies, while Democrats remain overwhelmingly critical of his leadership.

The U.S. Economy: Stability or Decline?

Despite White House claims of strong stock market performance and regulatory rollbacks, public confidence in the economy remains mixed. The latest poll shows that only 8% of Americans rate the economy as “excellent,” while 20% call it “good,” bringing total positive ratings to 28%. Meanwhile, 32% view the economy as “poor”.

Men (37%) are more likely to have a positive view of the economy compared to just 20% of women. Among younger voters (18-24), 12% rate the economy as excellent but 30% call it “poor.” Older voters (45-64) are the most negative, with 37% believing the economy is in poor condition.

Polling suggests there is support for reducing government spending but also concern that Trump’s cuts could go too far. Meanwhile, Trump has hinted that some of these savings could be redirected back to taxpayers, a move designed to shore up public confidence in his economic leadership. However, with inflation still a top concern, it remains uncertain whether his cost-cutting strategy will alleviate economic anxieties or exacerbate them.

Inflation and the Cost of Living

If there is one issue that unites Americans across party lines, it is inflation and the rising cost of living. The latest poll shows that 62% of Americans say they are “very concerned” about inflation, while 30% say they are “somewhat concerned.” These figures indicate that over 90% of the population is at least somewhat worried, highlighting the deep impact of rising prices on everyday life.

Women (67%) are more concerned than men (58%) and older voters (55-64: 70%) are the most alarmed, likely due to fixed incomes and healthcare costs. Even younger voters (18-24), who are typically less focused on inflation, report high levels of concern (57%). Democrat supporters are the most worried, with 70% saying they are very concerned about inflation, compared to 55% of Republican voters.

The White House has sought to address economic frustrations with selective policy interventions, including an executive order to lower the cost of IVF treatments, a move seen as a direct appeal to suburban women. However, Trump’s administration has simultaneously pushed for deep cuts to housing assistance, Medicaid and other social programs, raising concerns that economic hardship could worsen for middle-class and low-income Americans.

Public Confidence Remains Fragile

As Donald Trump’s second term unfolds, the nation remains sharply divided on whether his sweeping policy changes are setting America on the right path or leading it into further instability. While his core supporters remain loyal, praising his aggressive approach to cutting government spending and prioritising nationalist policies, opposition among Democrats and independents is intensifying. His administration’s deep staffing cuts, protectionist trade policies and foreign policy realignment, particularly his controversial stance on Ukraine, have further polarised public opinion.

With 62% of Americans very concerned about inflation, addressing economic instability will be crucial for Trump’s approval ratings. If economic conditions fail to improve, even some of his most loyal supporters may begin to waver. However, if his spending cuts and economic initiatives succeed, it could stabilise public confidence and reinforce his administration’s economic message.

Download the data tables for this poll.