So the policy-driven stimulus that the administration plans runs the risk — at least in theory — of driving inflation higher. Kevin Warsh, nominated to become the next central bank chairman, seems sympathetic to the White House plan to run the economy hot. On Wall Street, some analysts are raising their economic growth forecasts and monitoring administration pronouncements for signs of more election-year pump priming. The combined business and individual tax cuts could drive a “significant reacceleration” of the economy, according to economists at TS Lombard in London. Over a decade, deregulation will boost annual economic growth by roughly one-third of a percentage point to almost a full point, said Yared, the acting CEA chair.

Source: Washington Post February 08, 2026 14:41 UTC