Kamala Harris Unveils $1.7 Trillion Economic Plan with Grocery Price Controls and Middle-Class Support

Vice President Kamala Harris launched her campaign in North Carolina on Friday by unveiling a new economic plan aimed at addressing the financial struggles faced by many Americans under the Biden-Harris administration.

The plan, which has sparked considerable debate, includes approximately $1.7 trillion in handouts and price control measures designed to ease the cost of living.

One of the critical components of Harris’s plan is a federal crackdown on “price gouging,” explicitly targeting unfair pricing on groceries. The proposal also includes a $25,000 subsidy to assist first-time homebuyers with down payments and a tax break of up to $6,000 for lower- and middle-income families during the first year of their child’s life.

The plans also include $25,000 in homeownership assistance. AFP via Getty Images

The Trump campaign has been quick to criticize these policies, particularly the price control measures, labelling them as “communist.” Comparisons have been drawn to the economic policies of authoritarian regimes in Venezuela and Cuba, with concerns about potential negative consequences. On a Trump campaign call, economist Kevin Hassett warned that government intervention in food pricing could lead to shortages and famines.

Stephen Moore, another economist on the call, echoed these concerns, pointing out that grocery stores typically operate on slim profit margins of 2 to 3 per cent. He predicted many could face closure if Harris’s price controls are implemented.

In her speech in Raleigh, Harris acknowledged the ongoing economic challenges, saying, “We know that many Americans don’t yet feel that progress in their daily lives; costs are still too high, and for too many people, no matter how much they work, it feels so hard just to be able to get ahead.” She emphasized her commitment to creating opportunities for the middle class, dubbing her vision an “opportunity economy.”

The $1.7 trillion cost of the plan, estimated by the Committee for a Responsible Federal Budget, primarily stems from the proposed increase in the Child Tax Credit. However, the figure does not account for the additional costs associated with grocery price controls.

“The middle class is one of America’s greatest strengths, and to protect it, we must defend basic principles, such as ensuring that your salary provides a good quality of life for you and your family,” Harris said.

The Trump campaign has highlighted that Harris, as vice president, has been in office for the past three and a half years, overseeing the current state of the economy. This context has fueled criticism of her new economic proposals.

Sola Adeniji

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