Former Obama Advisor Expresses Sympathy for Trump Amid Crisis

Dec 27, 2025, 2:28 AM

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Jason Furman, a former economic advisor to President Obama, recently shared his thoughts on President Trump's challenges in managing the affordability crisis facing many Americans. During an appearance on CNBC's "Squawk Box," Furman noted that despite low gas prices, consumers remain pessimistic, which complicates Trump's efforts to address their economic concerns.

Furman pointed out that gas prices have been relatively affordable, with the national average hitting $2.85 a gallon, which is $0.18 cheaper than the previous year. However, this positive development has not translated into increased consumer confidence, which has fallen to its lowest level since April. Approval ratings indicate that more Americans disapprove of Trump's handling of the economy.

"I've been puzzled," Furman remarked, emphasizing that in government, the price of gasoline is often viewed as a critical indicator of economic health. He expressed that he feels "a tiny bit bad" for Trump, as he has not received credit for the favorable gas prices during his administration.

Despite the low gas prices, consumers are increasingly focused on rising costs in other areas, particularly groceries, which have seen price increases of nearly 30% over the past five years. This focus on higher prices makes it difficult for Trump to alleviate economic anxieties, even when there are positive signals in other areas of the economy. Furman noted, "Consumers are just in this sort of, whatever the highest price is, is the price they're going to focus on and be upset about".

The economic landscape is further complicated by mixed signals. The US economy experienced a robust 4.3% GDP growth in the last quarter, the strongest in two years, yet the unemployment rate rose to 4.6% in November, up from 4.2% the previous year. This juxtaposition of strong growth and rising unemployment raises questions about the overall health of the economy and the nature of the recovery, which some economists describe as K-shaped, where the wealthy benefit while lower-income individuals struggle.

Furman expressed skepticism about the K-shaped recovery narrative, suggesting that wage growth remains strong, which could support increased spending and productivity. However, he acknowledged that wage growth for the lowest-wage Americans has decreased from 7.5% in 2022 to about 3.5% today, the lowest in a decade. This decline in wage growth could contribute to the perception of an uneven recovery, as many Americans continue to face financial challenges.

In summary, Furman's insights highlight the complexities of the current economic situation, where low gas prices do not necessarily translate into positive consumer sentiment. As Trump navigates these challenges, the mixed economic indicators present a difficult landscape for addressing affordability concerns among Americans. The ongoing focus on rising grocery prices and other costs may overshadow the positive developments in certain sectors of the economy, complicating efforts to improve public perception and confidence in economic management.

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