On Sunday, National Economic Council (NEC) Director Kevin Hassett spoke with Fox News’ Shannon Bream on Fox News Sunday. He had some interesting comments, both on the ongoing efforts to fix the economic mess left by the unlamented Joe Biden administration, and also on what Americans can expect from their tax returns in 2026.
First, the economic recovery.
NEC Director Kevin Hassett on @POTUS‘ work to fix the ‘Bidenomics’ mess: “Already, what we’ve seen is after 4 years under the Biden administration, where real incomes went down by $3,000 for the typical family, they’ve gone up by $1,300 this year…we’re making great progress.” pic.twitter.com/c6tLplkD0b
— Rapid Response 47 (@RapidResponse47) December 21, 2025
Mr. Hassett said:
Well, already, what we’ve seen is that after four years, under the Biden administration, where real incomes went down by $3,000 for a typical family. They’ve gone up by $1,300 this year. Now it doesn’t mean that Biden dig, he really dug a big hole, doesn’t mean that we’ve fixed all the problems that Joe Biden created. But we’re making great progress. So, one of the things, I think, that I really liked most about the president’s speeches this week, but I’m biased, I’m an economist, but he put up a lot of charts to show people why they should truly believe that we’re going to make lots of progress on affordability.
So for example, he put up a chart that showed all the electric power generation plants that we’ve approved that will in place over the next year or two. He had a big map of the United States, and showed like, I think it was 1,600 new power plants, which is, that’s how you get electricity prices down. So, you don’t just talk about it, but you deliver, and in the end, what’s going to happen, is people are going to see lower prices, they’re going to see higher real incomes, just like they did last time. And that’s when these numbers are going to turn around. But right now, there is still a lot of recovery from the harm that Biden caused.
Electricity, indeed, is at the very heart of the matter – electricity, along with the coal, oil, and natural gas on which our economy runs. Every part of our economy. Increasing the number of generation plants, yes, will reduce electricity prices, and almost daily, our modern technological lifestyle depends on reliable, affordable electricity. Everything about our society, from AI data centers to home air-conditioners, depends on reliable, affordable electricity. It’s good to hear that as a part of the proposed solution to the staggering mess Joe Biden’s administration made of things.
Read More: Team Trump Signals an Economic Rebound
January Jobs Report: Biden Economy Worse Than Anyone Expected
Then, on taxes:
“You’re going to see the biggest tax refund season of all time,” says NEC Director Kevin Hassett on 2026.
“We’re going to have a plan, a big plan, to announce sometime soon in the new year that’s going to be really good news for [homebuyers].” pic.twitter.com/c6vQWsSYkU
— Rapid Response 47 (@RapidResponse47) December 21, 2025
Again, Mr. Hassett said:
Well first of all, there’s so much good news in the new year, because you’re going to see the biggest tax refund season of all time. The Big, Beautiful Bill was passed in July. The IRS didn’t have time to change all the (inaudible) and so now everybody’s going to get huge tax refunds. If they were overtime workers, if they’re seniors, if they, you know, had tip income, all those things are going to be refunded. Those taxes, this year, when they file for their taxes. And then the other thing is that we’ve got lots of great new ideas that we’re going to put before the American people this year to make their lives better. The president mentioned in his economic speech, from over here at the White House, that we’ve got everybody, in the whole Cabinet, working on trying to get housing to be more affordable. We’re going to have a plan, a big plan, to announce sometime soon in the new year, it’s going to be really good news for the American people who feel like it’s just not affordable to buy a home anymore.
Don’t forget that under Joe Biden, the average mortgage payment for the typical middle-class family, who were buying, for the first time, a home, went up by $14,000 a year. $14,000 a year, because of inflation and higher interest rates. And we’ve got a plan that’s going to make that go almost completely in reverse. Already, we’ve reduced that monthly mortgage payment by $3,000.
No “no tax on tips” item wouldn’t have been as big a deal a few years ago, when more people paid their restaurant bills and bar tabs in cash, and left a $5 or $10 bill on the table or bar for the service; those cash tips, from what I’ve heard from old friends who worked in those industries, generally didn’t get reported. (I have a lovely big tip jar on my desk here, and oddly, it remains empty.)
Housing, though, that’s another big hurdle. What wasn’t mentioned here was deregulation and zoning reform, which could go a long way towards increasing affordable housing supplies – but those are matters that have to be taken up by state, county, and municipal governments. Washington can’t fix everything, after all.
The new year that Kevin Hassett refers to frequently in this interview is only a little over a week away, as of this writing. That new year is also the midterm election year, and midterms, as much as any elections, swing on the economy. And when it comes to the economy, a big majority of Americans are likely to be channeling their inner Missourians, and saying, “Show me.”
Editor’s Note: Thanks to President Trump’s leadership and bold policies, America’s economy is back on track.
Help us continue to report on the president’s economic successes and combat the lies of the Democrats. Join RedState VIP and use promo code MERRY74 to receive 74% off your membership.
