President Donald Trump and congressional Republicans have taken steps to reverse years of economic mismanagement, including preventing tax hikes on working families, expanding domestic energy production, and cutting regulations. These moves helped stabilize an economy hit by 40-year-high inflation under the Biden administration. But the lingering pain from rising prices means voters are not grading on a curve.
According to internal polling by Americans for Prosperity, a conservative advocacy group, cost-of-living remains the top concern for voters in battleground states. Their surveys of over 1 million voters show a troubling trend: many now trust Democrats more on economic issues and inflation. This should be a wake-up call for the GOP, especially as the 2026 midterms approach.
During Biden's term, cumulative inflation hit 21.5 percent, costing the average family over $11,000 annually just to maintain their standard of living. Ongoing instability in the Middle East, including tensions with Iran and the Strait of Hormuz, has kept energy prices volatile, with fuel cost spikes rippling through the economy. These factors have left families struggling with groceries, housing, childcare, and utilities.
Voters are not looking backward. They want to know: who has a plan to lower my cost of living now? Republicans risk losing the voters who delivered their recent victories if they fail to answer that question clearly. History already creates headwinds for the party in power during midterms, and the GOP cannot afford a campaign centered only on Democratic failures.
Republicans have an opportunity to offer a clear contrast by advancing policies that shrink government, cut red tape, and lower taxes. This includes accelerating permitting reform and expanding domestic energy production to reduce utility and transportation costs. It also means reducing regulations that make housing and construction more expensive, protecting pro-growth tax policy, and expanding access to Health Savings Accounts.
The contrast is straightforward: Democrats often respond to economic challenges with more government spending and regulation. Republicans should offer a different path—one rooted in economic freedom and less government interference. As one analyst noted, "The candidates that convince voters they can lower the cost of living will win 2026. Good policy is good politics."
For more on the political landscape, see our analysis on why the 2026 midterms could be the most volatile yet and the poll showing 77% say Trump's policies raised living costs.
Katelyn Bledsoe, vice president of External Affairs at Americans for Prosperity, argues that Republicans must build on their economic foundation while keeping an unrelenting focus on lowering the cost of living. If they do, they will retain their majorities and demonstrate that free-market policies remain the best path to restoring the American Dream.
