U.S. Vice President Kamala Harris to Unveil New Economic Policies

By Nandita Bose

Washington (Reuters) – U.S. Vice President Kamala Harris plans to roll out a new set of economic policies this week aimed at helping Americans build wealth and incentivizing businesses to support this goal, according to three sources familiar with the matter.

The new policies, which have not been previously reported, may be announced in Pittsburgh on Wednesday. They come as undecided voters are seeking more information about how Harris would bolster the economy if elected president in November, particularly in critical swing states.

Speaking to reporters on Sunday after the expected rollout was revealed, Harris stated that she would articulate her economic vision in an upcoming speech. She emphasized that the plan focuses on investing in the ambitions of the American people while addressing the challenges they face.

The rollout follows intense debate within Democratic circles regarding the timing of releasing additional economic policies so close to election day. One source noted, “It’s not just about affordability; it’s also about showing voters they have a path to building wealth,” adding that Harris wants to demonstrate to Americans how they can “get a foot in the door.”

Details on the forthcoming policies remain under wraps, and the Harris campaign has not commented on any new proposals. However, both Harris’s 2020 presidential run and President Joe Biden’s administration included initiatives with similar objectives.

During her 2020 campaign, Harris advocated for significant pay increases for public school teachers, required companies to reveal pay disparities between genders, and penalized those not working to reduce these gaps. The Biden and Harris administration has worked to eliminate bias in home appraisals and direct federal contracting budgets to support minority businesses.

Harris has previously released a range of economic policies focusing on high housing costs, taxes, childcare, and goods, often building on Biden’s initiatives, such as increasing the child tax credit and raising the corporate tax rate to 28%.

Campaign spokesman James Singer provided no comments regarding the story but stated that Harris “will continue to present her opportunity economy agenda to lower costs, make housing more affordable, and spur economic growth across America.”

Despite the time sensitivity, some advisers acknowledge that releasing new economic policies less than 50 days before a tight presidential election could result in these measures not reaching key voters.

A source remarked, “Typically, you’d see a campaign wrap up persuading voters by September and move towards mobilization, but this is not a typical campaign,” referring to Harris’s ascension to the top of the ticket in late July. “We have to continue persuading and mobilizing folks at the same time until the very end.”

Former President Donald Trump’s economic proposals for working-class Americans encompass eliminating taxes on tips and Social Security benefits, developing federal lands for housing construction, and enforcing deportations of millions of immigrants who Republicans claim inflate costs.

Additionally, Trump proposed new tariffs on goods not produced in the U.S., which could result in higher costs for American consumers and inflation, albeit supported by a slim majority of voters.

Trump has sought to attribute the inflation experience on Democrats, despite it being a global phenomenon post-COVID-19 pandemic. He frequently highlights the rising cost of groceries, with the Consumer Price Index for food having increased by 25% from 2019 to 2023, according to the U.S. Department of Agriculture.

Harris Gains Ground on Economic Issues

Historically, Republicans have polled better on economic issues than Democrats; however, recent polling indicates a shift toward Harris.

According to a Financial Times-Michigan Ross poll this month, 44% of registered voters trust Harris with economic stewardship compared to 42% backing Trump. Moreover, a Reuters/IPSOS poll from August indicated that Harris is narrowing the gap on this front.

The recent decision by the Federal Reserve to cut interest rates by half a percentage point indicates a belief that inflation risks may be subsiding, which could alleviate some consumer costs.

Supporters of Harris have urged her campaign to reinforce existing economic messages rather than unveil new initiatives. Donna Brazile, a long-time Democratic strategist, recommended, “My recommendation is to do more show-and-tells rather than address this with endless white papers; go to grocery stores and apartment buildings.”

She remarked, “Inflation may have gone down, but the cost of living hasn’t changed. Some of this is post-pandemic, and that still must be addressed.”

Others, however, believe prioritizing more economic policy might not be essential. Adam Newar, a money manager and Harris donor, stated, “It’s a character election, not a policy election. I’m not sure what more policy information actually brings to the table. She must continue articulating a vision and communicate that to people feeling left behind.”

Many of Harris’s proposals would require congressional approval, making it unlikely they would pass unless Democrats secure wins in both the House and Senate.