Donald Trump talks economy in Chicago: Brace for business tips and one-liners

Presidential candidate Donald Trump shared his vision for the U.S. economy at the Economic Club of Chicago on Tuesday, describing it as an "America first" approach that includes high tariffs and strict immigration policies, as reported by ABC7 Chicago. The event—led by Bloomberg Editor-in-Chief John Micklethwait—invited Kamala Harris to attend as well, though she did not confirm her attendance. The former president was greeted warmly with a standing ovation prior to the heated discussion.

Trump stood firm on implementing steep tariffs on international trade, declaring tariffs to be a vital tool for economic protection. Trump stated, "We're going to bring the companies back with lower taxes," a statement aimed at encouraging domestic production. 

While many economists warn that tariffs could drive inflation and hurt consumers, Trump believes it levels the playing field, adding, "To me the most beautiful word in the dictionary is tariff. It's my favorite word. It needs a public relations firm."

His stance did not go unchallenged, according to ABC7 Chicago. Sixteen Nobel Prize-winning economists have expressed concern that Trump's proposals might reignite inflation. According to a report by the Peterson Institute for International Economics, if implemented, these policies could raise inflation rates to between 6% and 9.3% two years into his potential second term.

When questioned about his immigration plans, Trump emphasized the necessity of legal entry, suggesting his mass deportation policy may shrink the economy but promising to ensure lawful entry for immigrants. "I want a lot of people to come into our country, but I want them to come in legally," he said during the discussion. Trump also discussed inflation and the Federal Reserve, advocating for presidential influence over interest rates. 

Governor JB Pritzker and Mayor Brandon Johnson openly criticized Trump’s plans, suggesting they could damage the economy further by increasing costs and deepening the deficit, reports ABC7 Chicago. 

Despite these concerns, a Forbes article reported last month that “inflation has been far worse during the Biden administration, up 19% over the first 42 months of Biden’s term compared to 6% during Trump’s first 42 months, according to the government’s consumer price index.” 

Earlier this week, vice presidential candidate JD Vance also made an appearance in Chicago for a private fundraising event.