“Affordability” reduces to a single comparison. Are prices rising faster than wages or the other way around?

Month on month, the answer to that question was problematic. However, over Q4 2025 average hourly earnings did rise faster than prices.

If that trend continues into 2026, President Trump has won the “affordability” debate.

If that trend falters he will lose that debate.

Bear in mind that wages have yet to fully recover from the 2022 hyperinflation cycle.

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