Trump's policies predicted to slow U.S. growth, inflate

Donald Trump's economic policies are expected to slow U.S. growth and raise inflation, according to a new survey of economists. The Financial Times-Booth survey highlights concerns about Trump's tariffs and his efforts to reduce the size of the federal government. These actions have led to fears that the U.S. economy will face significant challenges. The survey shows that many experts believe uncertainty in economic policy will lower growth. This could cause consumers and businesses to cut back on spending. The median forecast for U.S. economic growth in 2025 is now 1.6%, down from 2.3% predicted in December. Last year, the U.S. economy grew at a rate of 2.8%, among the highest in the G7 nations. Trump's tariffs, especially on steel and aluminum, are already impacting businesses. Reports indicate a decrease in new orders, while consumer confidence has dropped. Canada's and China's retaliatory tariffs, along with threats from the EU, add to the turmoil. Economists are also worried about rising inflation, with expectations that a key inflation gauge will increase to 2.8% by the end of the year. This figure is above the Federal Reserve's target of 2%. High inflation could complicate economic recovery efforts. The uncertainty surrounding Trump's policies has raised concerns among economists. Historically, it has been difficult to link uncertainty to economic growth, but many now believe it will negatively impact investment. Changes to key policies and constant reversals have left many unsure of how things will progress. Additionally, more than 90% of economists expressed worry about the reliability of U.S. economic data. This comes after the Commerce Department disbanded a key advisory committee that had focused on improving data quality. A recent statement from Commerce Secretary Howard Lutnick suggested changes in how government spending is reported, which could further complicate economic measurements.