Council of Economic Advisers Chair Defends Trump's Economic Policies
Washington, Monday, 7 July 2025.
Steve Miran contends that Trump’s economic strategies bolster growth despite critics’ concerns, highlighting the impact of tariffs and the ‘Big Beautiful Bill’ ahead of upcoming elections.
Economic Growth Under Trump’s First Term
In a vigorous defense of the Trump administration’s economic strategies, Steve Miran, the Chair of the Council of Economic Advisers, remarked that the economic growth witnessed during Trump’s first term serves as a testament to the effectiveness of the strategies deployed, contradicting critics’ forecasts of economic turmoil. According to Miran, the introduction of tariffs, particularly those imposed on China, resulted in what he describes as ‘astounding economic growth’ contrary to prevalent pessimistic predictions. He reiterated that the historical performance of these tariffs clearly invalidated claims of foreseeable economic damage [1][5].
The ‘Big Beautiful Bill’ and Economic Predictions
The ‘Big Beautiful Bill,’ recently signed into law by President Trump over the July 4th weekend, has stirred significant debate due to its projected impacts on health coverage and the national deficit. Miran refuted predictions by the Congressional Budget Office (CBO) that over 10 million people would lose health coverage, arguing instead that eight to nine million would have lost insurance had the bill not been enacted [1][6]. This assertion falls amid broader claims that economic growth spurred by these policies—through increased investments and resultant income hikes—could inherently reduce the deficit by boosting tax revenue [1][6].
Tariffs and Trade Deals: A Political Strategy
The Trump administration’s imposition of tariffs continues to shape its trade strategy, especially as the 2025 elections loom. Treasury Secretary Scott Bessent emphasized the vital role of these tariffs in underpinning multiple forthcoming trade agreements poised to be unveiled. Notably, a landmark deal with Vietnam was heralded by Miran as ‘fantastic’ given its favorable terms granting the U.S. tariff-free access to Vietnamese markets, while imposing significant tariffs on Vietnamese exports. This approach also aims to counter exporting practices by third countries such as China [3][7]. Additionally, President Trump has announced the delivery of tariff notices to various countries starting July 7, 2025, marking a strategic escalation towards the August 1 deadline when increased tariffs are poised to be enacted [8].
Criticism and Defense of Economic Policies
Despite the administration’s assertions, economic strategies under Trump’s second term have faced scrutiny, particularly concerning their impact on the U.S. dollar’s stability. In contrast, Steve Miran’s narrative holds that maintaining robust economic growth is crucial for preserving financial health and ensuring insurance coverage amid criticism from figures like former Treasury Secretary Larry Summers. Simultaneously, there is ongoing discussion over tariff impacts on inflation and overall economic performance, with Miran dismissing claims of adverse inflationary effects from prior tariff implementations [6][9]. These debates signify the intensified focus on Trump’s economic stewardship as election anticipation builds.