16 Economic Policy Reforms Kamala Harris Plans to Enact If Elected

Throughout her campaign, Vice President Kamala Harris has championed an “opportunity economy” designed to address the pressing economic concerns of American voters.

Economic issues remain the foremost priority for voters in the upcoming presidential election. Recent Gallup data reveals that 43% of respondents rank the economy as their chief concern, a notable increase from 36% in April. Inflation and the national debt stand out as the most alarming economic challenges for the electorate.

Donald Trump's Economic Agenda

In the 2024 presidential race, Harris is competing against former President Donald Trump. For a detailed overview of Trump’s economic proposals, click here.

Both candidates emphasize economic policies in their campaigns. Below are the key economic initiatives Harris intends to implement if she wins the presidency.

Kamala Harris’ Economic Strategy

Tax Policy

• Harris aims to reduce taxes by expanding the Child Tax Credit, offering new parents a $6,000 tax break during their child’s first year, and increasing the per-child credit from $2,000 to as much as $3,600. Additionally, she proposes tripling the Earned Income Tax Credit for workers without children at home.
• Individuals earning less than $100,000 will continue to be exempt from taxes on long-term capital gains, while those with incomes above $1 million will maintain a 20% tax rate. Previously, Harris had suggested raising this rate to 28% for top earners.
• The administration plans to increase the tax rate on corporate stock buybacks by four times to discourage stock repurchasing practices.

Housing Initiatives

• To boost housing availability, Harris proposes reducing bureaucratic hurdles, supporting builders, and launching the Neighborhood Homes Tax Credit to facilitate the construction or renovation of over 400,000 single-family homes in underserved communities. A tax incentive for homebuilders to create affordable housing is also part of her plan.
• First-time homebuyers would receive $25,000 in down payment assistance under her administration.
• To lower rental costs, Harris intends to crack down on landlords using algorithmic price fixing and investors who bulk-buy and inflate home prices. She also plans to expand the Low-Income Housing Tax Credit to encourage affordable rental housing development.

Lowering Family Expenses

• Harris aims to stabilize supply chains to prevent product shortages and advocates for a federal ban on price gouging for groceries and prescription medications.
• She plans to reduce childcare and eldercare costs by expanding access to paid leave, helping workers balance caregiving responsibilities.
• Her proposals include Medicare coverage for in-home care services, benefiting seniors and the “sandwich generation” caring for both children and aging parents.
• Further, she supports broadening prescription drug savings programs and accelerating Medicare’s drug price negotiations initiated during the Biden administration.

Support for Businesses and Industry

• To foster entrepreneurship, Harris aims to increase the tax deduction for startup expenses to $50,000 and provide more low- and no-interest loans. Her plan includes allocating a third of federal contracts to small businesses, simplifying tax filing, and easing occupational licensing rules.
• She proposes expanding the State Small Business Credit Initiative to enhance financing options for rural enterprises.
• Harris advocates raising the minimum wage, eliminating sub-minimum wages for tipped workers and disabled employees, and removing taxes on tips.
• Her administration will promote hiring Americans without college degrees by removing unnecessary degree requirements for federal jobs.
• Tax credits will be offered to companies employing union workers, alongside investments in revitalizing steel, iron manufacturing, and agricultural towns through local hiring and union collaboration.
• She plans to support clean energy industries by streamlining project approvals and increasing investments.

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