Fed Chair: No, ‘Putin’s Price Hike’ Isn’t Primary Driver Behind Biden-Flation
“Inflation was high before – certainly before the war in Ukraine broke out,” testified Federal Reserve Chair Jerome Powell before a Senate hearing, dismissing President Biden’s claim that Putin’s unjustified invasion of Ukraine was the primary driver of inflation. Chair Powell also warned that a recession was “certainly a possibility.”
Despite this, the Biden Administration and congressional Democrats continue to play the blame game for 40-year high inflation, claiming Americans are falling further behind because of “Putin’s Price Hike,” while dismissing the growing consensus among experts that the U.S. is teetering toward a recession.
BOTTOM LINE: President Biden doesn’t have a realistic plan to fight inflation and is in denial about how his policies have made recession inevitable. Democrats are promising to make matters worse with crippling tax hikes and runaway spending.
KEY TAKEAWAYS:
Accelerating Biden-Flation is Crushing American Families.
- The typical family now has to spend $450 more per month to buy the same goods and services they did a year ago, prompting more Americans to rely on loans and credit cards to make ends meet, even as the Federal Reserve makes borrowing more expensive.
- With nearly 70 percent of Americans dipping into their savings, a new report shows that since President Biden took office, 26 million low-income households have had their savings wiped away.
- Gas prices have more than doubled under President Biden, which means the average American family will spend $5,000 on gas, a 78 percent increase from a year ago.
READ: POLL: As Biden-Flation Accelerates, Majority of Americans Are Bracing for Even Higher Prices Ahead
Democrats Don’t Have a Realistic Plan to Fight Inflation – Are in Denial About Recession Risks.
- From denying inflation and claiming it was “temporary,” to passing the buck with “Putin’s Price Hike,” the White House and congressional Democrats are out of touch with the challenges Americans face.
- Democrats continue to threaten at least $1 trillion in crippling tax hikes on working families and Main Street businesses that would cause prices to rise even further, despite their own preferred economic forecasters’ warnings that the Build Back Better plan will worsen inflation.
- The majority of top job creators believe recession is unavoidable, while 85 percent of Americans believe the U.S. will be in recession in the next year.
READ: Build Back Better Won’t Blunt Biden-Flation
READ: Democrats Vow to Make Biden-Flation Worse
Republicans Are Fighting on Behalf of the American People.
- Instead of doubling down on the same failed economic policies that have fueled 40-year high inflation and pushing gimmicks like a “gas tax holiday,” Democrats should work with Republicans to get the economy back on track.
- Republicans have outlined steps to reduce the current skyrocketing inflation, including: cutting wasteful spending and red tape, lowering taxes, boosting investment, and unleashing American energy.