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Economy

What Democrats plan to do about health costs, tariffs and gas prices, and what Trump can do to block them

They lack the two-thirds majorities needed to override a veto. The next two years will be a fight.

What Democrats plan to do about health costs, tariffs and gas prices, and what Trump can do to block them
Stock photo, not from the event described. Photo by Gemma C on Unsplash

Democrats won Congress on a promise to lower the cost of living. Within days of the vote, they are already splitting over how much to spend on that versus investigating President Donald Trump, and Trump holds a veto they cannot override.

The mandate

More than 80% of midterm voters said they were worried about the price of necessities like gas, groceries and healthcare, according to the NBC News Exit Poll. In a reversal from 2024, voters said they trusted Democrats on the economy more than Republicans. And 69% said the U.S. economic system favors the wealthy.

What Democrats say they will do

  • Health care: House Democratic leader Hakeem Jeffries, the expected next speaker, has said Democrats will restore Affordable Care Act tax credits that expired in 2025 and reverse Medicaid cuts and work requirements from Republicans' 2025 tax bill, NBC reported. Pennsylvania Gov. Josh Shapiro told "Meet the Press" Sunday that 510,000 Pennsylvanians are losing health coverage and 143,000 are losing SNAP because of cuts approved during Trump's second term. Those are Shapiro's figures, and NBC did not independently verify them.
  • Prices: Sen.-elect Adam Hamilton (D-Kan.) said Congress should focus first on ending the Iran war and "claw[ing] back tariffs policies." Other Democrats have proposed suspending the federal gas tax and limiting data-center construction to curb electricity costs.
  • Taxes and families: Sen.-elect James Talarico (D-Texas) has proposed ending tax cuts for the wealthiest households, free pre-K for all 3- and 4-year-olds and expanded down payment help for first-time buyers.

The fight over priorities

Hamilton told NBC that if Democrats do not "get to work on helping people, this is going to be a one-and-done, kind of, you know, kind of blue wave." He said he would be "deeply disappointed" to spend two years on investigations. Sen. Bernie Sanders agreed: "We cannot spend all of our time investigating Trump." Shapiro said Democrats must "walk and chew gum at the same time," and that Jeffries has put both on the agenda for the first 100 days.

The veto problem

Trump can veto any bill, and Democrats lack the two-thirds majorities in both chambers needed to override, NBC reported. Trump has said he wants to work with Democrats, but he has also touted a new "VETO" hat. Shapiro said a veto would show "the president actually doesn't care about their well-being."

Whether any of it reaches workers' paychecks depends on bills that Trump signs. Watch the first votes on health-care funding and tariff limits after Democrats take over in January. For more, see WorkersRights.News's opinion piece, "Democrats Can't Outvote Trump's Veto Pen. They Can Build the Next Pro-Worker Era.".

Sources

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