We’re entering the final days of the first year of Trump’s second term, and the economic picture looks very different from his first.

Last time, America saw strong growth driven by pro-market reforms — tax cuts, regulatory reductions, and a broader effort to unleash productivity. This time, the administration led with the opposite approach: sweeping tariffs and industrial policy first, and only later moved to tax cuts and deregulation. That reversal in priorities has stalled, not strengthened, the economy.

Now those tariffs are at a defining moment before the US Supreme Court, where the Justices are weighing whether any president can unilaterally impose “emergency” taxes on Americans. Yet even as SCOTUS debates the limits of executive power, the administration is doubling down with tariff rebate checks instead of simply lowering the taxes themselves.

But there is good news amid the chaos: health policy is finally front and center. That opens the door to meaningful reforms that put patients — not bureaucracies, insurers, or federal mandates — at the center of care.

In This Week’s Economy, I break down the challenges and the real opportunities ahead for economic growth and the issues that let people prosper. Tune in to the full episode on YouTube, Apple Podcast, or Spotify, and visit my website for more information.