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Harris reveals good-vibes economic polices. Experts weigh in.

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Harris reveals good-vibes economic polices. Experts weigh in.
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Democratic presidential nominee Kamala Harris revealed for the first time some big economic plans on Friday, but these experts had mixed reactions on how much some of them would help everyday Americans.

Harris, who said in a fact sheet she’s focused on “some of the sharpest pain points American families are confronting,” plans to ease rent increases, cap prescription drug prices for everyone, boost first-time home buyers, end grocery price gouging and bolster the child tax credit.

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Many of these plans resonate with voters who have struggled in the past few years with soaring inflation, but some experts are wary of what they call “price controls” to fight high prices and how she intends to pay for some of her proposals. Any changes to the tax code also would require congressional approval and depend heavily on which party controls the House and Senate, tax experts say.

“It’s optimistic and targeted to improving the middle class; however, we have yet to see details, and it’s unclear how the congressional elections will impact the likelihood of passage,” said Mark Baran, managing director at consulting firm CBIZ MHM’s National Tax Office.

Former Republican New York Congressman and senior vice president at tax consultant alliantgroup Rick Lazio said in an email that the Harris campaign will need to consider “the societal costs of unsustainable higher public debt and its impact on inflation and the ability to respond to unplanned events, like recession, wars, pandemics, and natural disasters.”

The nonpartisan Committee for a Responsible Federal Budget estimate her full plan would increase deficits by $1.7 trillion over a decade and grow to $2 trillion if temporary housing policies were made permanent. “The Harris campaign has said this would be paid for through taxes on corporations and high earners and that they support the revenue raisers in the President’s fiscal year 2025 budget but has not put forward specific offsets as part of their agenda to lower costs for American families,” it said in a release.

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To get a better view of what experts liked and questioned, USA Today has compiled a more detailed look of each proposal.

Child tax credit

  • A return to COVID-era child tax credit (CTC) policies, which were $3,600 for qualifying children under age 6 and $3,000 for other qualifying children under age 18.

The CTC is currently $2,000 per qualifying child under age 17 that phases out for single filers earning over $200,000 and married couples with more than $400,000 in income. Republican vice-presidential nominee J.D. Vance has floated a $5,000 CTC and hinted at no income thresholds.

  • New, expanded tax relief of up to $6,000 for families with a newborn.

“We were super excited to see her propose this big expansion,” said Mary Nugent, advisor of domestic policy at nonprofit Save the Children US. “To put it front and center and to be including this new kind of bonus for new parents with those youngest kids is really exciting in terms of the impact.”

The plan would reduce child poverty by at least half, she estimates. “Most families would see an increased credit and, the top line there is that we would see massive cuts in child poverty.”

Health care and food prices

  • $35 price cap on insulin for Medicare recipients to cover insulin and annual out-of-pocket costs of $2,000 for all Americans, not just seniors.
  • Stiffer regulations and strict antitrust enforcement to prevent increased costs for consumers on drugs and food.
  • First-ever federal ban on price gouging on food and groceries.

The Groundwork Collaborative, a nonprofit progressive advocacy group, praised Harris’ push to hold companies accountable. “When just a handful of big companies control the majority of the market, or even control the market in a single region, they have the power to raise prices without worrying about a competitor nipping at their heels,” said Lindsay Owens, the group’s executive director, in a statement.

Economists were less enthusiastic, calling Harris’ efforts “price controls.”

“Harris is continuing with the Biden administration theme of blaming high inflation on corporate greed and price gouging – be it oil producers, pharmaceutical firms or, in this case, grocery retailers – rather than excessively loose pandemic-era fiscal and monetary policies,” wrote Paul Ashworth, chief North America economist for research firm Capital Economics, in a note. “She wants Congress to pass a federal ‘price-gouging’ ban. It sounds uncomfortably like price controls, which could lead to product shortages.”

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Housing

  • Block data firms from hiking lease rates, and prevent Wall Street investors from buying homes in bulk to resell at a premium.
  • New tax incentives for builders who construct “starter homes.”
  • Provide up to $25,000 in down-payment support for first-time homeowners.

“I’m encouraged by the recognition of by Vice President Harris of the affordable housing crisis in America,” Lazio said. “There is no congressional district in the nation that hasn’t seen a spike in the housing supply imbalance. Having said that, the devil is in the details and some of the initiatives like the subsidy for first time homebuyers regardless of their wealth or income needs to be rethought.”

Ashworth also noted many developed countries around the world “have tried to boost homebuilding but have struggled to achieve their goals because of capacity constraints in the construction industry or other bottlenecks, like zoning regulations.”

Tax-free tips: Trump, Harris agree on one thing: No taxes on tips. Here’s how it could impact the budget

What wasn’t discussed?

  • Tax Cuts and Jobs Act, which expires at the end of 2025, is a massive tax package passed in 2017 that included provisions that touch almost every American. If it expires, tax rates for most Americans will rise, income brackets will narrow, and the standard deduction would get cut in half which could force many Americans to itemize again, among many other things.

It’s the “big elephant in the room,” said Baran. “Letting it expire completely will hurt middle class Americans because tax rates will go up.”

Ashworth also noticed the lack of discussion “of whether she would support the extension of the original Trump tax cuts, even for those making less than $400,000 per year. That potential fiscal cliff that would hit at the end of next year is the real policy battleground.”

This is “bad economic policy, but understandable from a political standpoint given that it could be enough to win the election race in Nevada,” Ashworth said. “Assuming there are limits on the amount of income that can be counted as tips and that only income taxes are eliminated rather than payroll taxes too, that tax cut might cost up to $150 billion over the next decade.”

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  • Small and medium sized businesses.

“I’m disappointed that there was nothing today that spoke to the need to protect and incentivize these businesses that employ half of all Americans, and up until recently have generated most of the industry innovation in America,” Lazio said. He said he’d like to see Harris endorse tax incentives for research and development to spur innovation and to keep tax rates for small businesses steady.

 “Small business people are middle class people, too,” Baran said.

Medora Lee is a money, markets, and personal finance reporter at USA TODAY. You can reach her at mjlee@usatoday.com and subscribe to our free Daily Money newsletter for personal finance tips and business news every Monday through Friday morning.  

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Man arrested in plot to firebomb Palestinian activist’s home after undercover op

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Man arrested in plot to firebomb Palestinian activist’s home after undercover op

Police detain Nerdeen Kiswani, an organizer of pro-Palestinian demonstration group “Within Our Lifetime” during a protest on Friday, April 12, 2024, in New York.

Yuki Iwamura/AP


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Yuki Iwamura/AP

NEW YORK — A man accused of planning to firebomb the home of a prominent Palestinian activist has been arrested following a weekslong undercover operation led by the New York City Police Department, officials said Friday.

The target of the plot was Nerdeen Kiswani, who frequently leads protests in New York against Israel and the war in Gaza through the organization Within Our Lifetime.

Kiswani, 31, said law enforcement officials informed her late Thursday that they had disrupted “a threat on my life that was about to take place.”

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Federal authorities said they arrested Alexander Heifler on Thursday at his home in Hoboken, New Jersey, as he was assembling Molotov cocktails that he planned to throw at Kiswani’s home. For weeks, he had discussed the plot with an undercover NYPD detective who had infiltrated a group chat used by Heifler, according to a police department spokesperson.

An official who was briefed on the investigation said Heifler, 26, identified as a member of the JDL 613 Brotherhood, a New Jersey-based group founded in 2024 that describes its membership as “Jewish warriors” fighting back against rising antisemitism.

A website for the group says they are inspired by the original Jewish Defense League, a group linked to numerous bombings and attempted assassinations of Arab American political activists in the 1970s and 1980s.

Heifler planned to flee to Israel following the attack, according to the official, who requested anonymity because they were not authorized to discuss the details of an ongoing investigation.

An email inquiry sent to the JDL 613 was not returned.

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Kiswani, who lives in Brooklyn with her infant son and husband, said the plot would not deter her continued activism.

“I feel very blessed that they were able to thwart this, but it’s something that is a constant possibility for people who speak up on behalf of Palestine,” she said.

Heifler was charged in a criminal complaint with separate counts of making and possessing destructive devices, which each carry a maximum penalty of 10 years in prison. A message left with his attorney was not returned. He made an initial appearance in New Jersey federal court on Friday afternoon.

“Let me be clear: We will not tolerate violent extremism in our city,” New York City Mayor Zohran Mamdani said in a statement. “No one should face violence for their political beliefs or their advocacy. I am relieved that Nerdeen is safe.”

According to a court filing written by an FBI agent, Heifler spoke on a video call in February with a group that included an undercover detective about his interest in training for “self-defense” and wanting space where he could throw Molotov cocktails.

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The next day, he met with the undercover detective in person and discussed his plan to use them against Kiswani and flee the country, according to the complaint. “We have (Kiswani’s) address,” Heifler allegedly told the undercover. “So it’s like that, that would be easier if you’d be more comfortable with that.”

Heifler and the undercover detective drove to Kiswani’s residence on March 4 to “conduct surveillance” and discussed making a dozen Molotov cocktails to throw at her home and two cars parked outside, complaint said.

On Thursday, the undercover detective and Heifler met at Heifler’s Hoboken residence, where he had assembled components to make the Molotov cocktails, including a large bottle of Everclear, a highly flammable alcohol, the complaint said. Law enforcement officers then executed a search warrant at the residence and recovered the eight Molotov cocktails, the complaint said.

Kiswani co-founded the group Within Our Lifetime, which frequently organizes protests against Israel that draw hundreds of participants and often end in arrests. The group’s calls to “abolish Zionism” and support for “all forms of struggle,” including violence, has drawn fierce criticism. Kiswani denies that her criticism of Israel amounts to antisemitism.

Kiswani has been a frequent target of online vitriol. Earlier this year, U.S. Rep. Randy Fine, a Florida Republican, sparked backlash after writing in a social media post that “the choice between dogs and Muslims is not a difficult one.” The post was a response to a message Kiswani shared about dog owners, which she said was a light joke.

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“That hate against Palestinians has been bolstered by public officials, by Zionist organizations, who are never held accountable,” she said. “This is the inevitable result of that.”

The operation was carried out by the Racially and Ethnically Motivated Extremism unit within the NYPD’s counterterrorism bureau, a police spokesperson said.

“This is exactly how our intelligence and counterterrorism operation is designed to work — a sophisticated apparatus built to detect danger early and prevent violence before it reaches our streets,” Police Commissioner Jessica Tisch said.

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Iran-linked hackers have breached FBI Director Kash Patel’s personal emails | CNN Politics

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Iran-linked hackers have breached FBI Director Kash Patel’s personal emails | CNN Politics

Hackers connected to the Iranian government accessed FBI Director Kash Patel’s personal email and posted materials — including photos and documents — taken from his account, a person familiar with the breach confirmed to CNN.

The hackers have published a series of photos of Patel from before he became FBI director that they claim were stolen from his personal email account. A source familiar with the incident confirmed the images’ authenticity.

The stolen emails appear to date from around 2011 to 2022 and appear to include personal, business and travel correspondence that Patel had with various contacts, according to a preliminary CNN review of the files with the help of an independent cybersecurity researcher.

What the hacking group is calling a breach of “impenetrable” FBI systems is in reality something much more mundane — a breach of things like family photos and details on Patel’s previous search for an apartment, said the researcher, Ron Fabela.

“This isn’t an FBI compromise — it’s someone’s personal junk drawer,” he said.

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Reuters first reported the breach of Patel’s email on Friday.

The FBI has confirmed the breach and said no government information was obtained. The FBI is offering a $10 million reward for information that leads to the identification for the “Handala Hack Team,” a group the FBI says has frequently targeted US governement officials.

“The FBI is aware of malicious actors targeting Director Patel’s personal email information, and we have taken all necessary steps to mitigate potential risks associated with this activity,” a statement from the FBI said in part. “Consistent with President Trump’s Cyber Strategy for America, the FBI will continue to pursue the actors responsible, support victims, and share actionable intelligence in defense of networks.”

US intelligence officials have repeatedly warned about the possibility of Tehran-linked hackers retaliating for the US and Israeli bombing of Iran that began last month. It is also not the first time Iranian-backed hackers have accessed Patel’s private information.

In late 2024, Patel, just weeks away from being appointed to lead the FBI, was informed by officials that he had been targeted as part of an Iranian hack and some of his personal communications had been accessed.

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The 2024 hack was part of a broader effort by foreign hackers — from China and Iran — to access accounts for incoming Trump officials including now Deputy Attorney General Todd Blanche, former interim US Attorney for the Eastern District of Virginia Lindsey Halligan and Donald Trump Jr.

The Iran-linked hacking group that claimed responsibility for accessing Patel’s emails in this most recent breach was also behind a cyberattack earlier this month that disrupted business operations at a major US medical device maker.

The hackers said then that they were retaliating for a missile strike on an elementary school in Iran, which Iranian state media has claimed killed at least 168 children. The Pentagon has said it is investigating that incident.

The Justice Department has accused the hackers of working for Iran’s Ministry of Intelligence and Security. The department responded to the hack of the medical device company by seizing websites used by the Iran-linked hackers to disrupt their operations. But the Iranian cyber operatives have continued to claim victims and spread propaganda.

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