Kamala Harris unveils economic plan with expanded child tax credits and price-gouging ban

Raleigh, North Carolina - Kamala Harris unveiled an economic blueprint Friday heavy on popular measures to cut costs for Americans, while attacking powerful companies for price-gouging, as she fleshes out her election platform ahead of the Democratic National Convention.

Kamala Harris was unveiling Friday an economic blueprint heavy on popular measures to cut costs for Americans, while attacking powerful companies for price-gouging
Kamala Harris was unveiling Friday an economic blueprint heavy on popular measures to cut costs for Americans, while attacking powerful companies for price-gouging  © ALLISON JOYCE / AFP

The speech in North Carolina – a vital battleground state – was the first time Harris, who jumped into the race against Donald Trump less than a month ago, laid out a vision for combating the inflation that soured voters on her boss, President Joe Biden.

Promising to champion an "opportunity economy," she said "building up the middle class will be a defining goal of my presidency."

In an effort to connect with voters angry at Biden, Harris recounted her modest background, noting that she'd worked in a McDonald's during college.

Marjorie Taylor Greene slams young workers amid H-1B visa debate: "Put down the selfie light"
Marjorie Taylor Greene Marjorie Taylor Greene slams young workers amid H-1B visa debate: "Put down the selfie light"

And she acknowledged that while "by any measure, our economy is the strongest in the world..., many Americans don't yet feel that progress in their daily lives."

Taking a leaf from Trump's populist playbook, she threw out promises of hefty tax breaks for families with children, help in accessing government-subsidized health care, and support for first-time homebuyers.

This came on top of an announcement Thursday that the White House has negotiated reduced prices for retirees purchasing common medicines from major drug manufacturers.

Harris also called on Congress to pass the first federal ban on so-called "price-gouging" that will come with penalties on food companies that unfairly increase prices.

With the convention starting in Chicago on Monday, the proposals are meant to flesh out a come-from-behind campaign that has seen Harris spark huge enthusiasm in the Democratic Party but offer little detail on how she'd govern.

The vice president, vying to become the first woman president, hopes the headline-grabbing proposals will distance her from Biden's unpopular management of price surges that hit ordinary Americans in the wake of the Covid pandemic.

"These bold actions will address some of the sharpest pain points American families are confronting and bolster their financial security," the statement from her campaign said.

Trump and the Republicans are trying to tie Harris to 81-year-old Biden, who abruptly dropped his re-election bid on July 21 and endorsed his vice president.

Harris borrows a few populist tactics while drawing contrast with Trump

The speech in North Carolina is the first time Harris has laid out her vision for the economy.
The speech in North Carolina is the first time Harris has laid out her vision for the economy.  © IMAGO / ZUMA Press Wire

"Kamala Harris has had three-and-a-half years in office, and all she's done is break the economy. Kamala can't shake the stench of Bidenomics," the Trump campaign said.

The Trump campaign referred to an "inflation nightmare for American families."

In reality, inflation is on a steady downward trend, while the US economy has avoided a much-feared recession with strong job growth and record stock markets. However, the lingering effects from the Covid-related upheaval continue to be felt by regular consumers, ranging from prices on some food items to high interest rates for home buyers.

Some Americans in Panama reject Trump's canal takeover threat
Donald Trump Some Americans in Panama reject Trump's canal takeover threat

What's not yet clear is how the generous Harris tax breaks would be paid for. The non-partisan Committee for a Responsible Federal Budget said that Harris's measures would cost more than $1.7 trillion over the next decade.

Harris (59) has mirrored some of Trump's populist strategy, including a proposal to end taxes on restaurant workers' tips.

At the same time, Harris is drawing a contrast with 78-year-old Trump's economic vision, painting him as pro-millionaires and risking sharply increased costs for Americans through his proposal to slap tariffs of 10-20% on global imports.

"Donald Trump fights for billionaires and large corporations... I will fight to give money back to working and middle-class Americans," Harris said.

And much of Biden's economic agenda is transferring straight over to the Harris campaign.

This includes his promise to eradicate "junk fees" that lure customers in with a low price before adding extras and keeping the president's no-tax-hikes pledge for those making under $400,000.

Until recently, polls showed that voters strongly preferred Trump to Biden on the economy. However, Harris is already starting to nullify that advantage and a new University of Michigan poll even shows her ahead.

Cover photo: ALLISON JOYCE / AFP

More on Kamala Harris: