Joe Biden’s economic malaise continues.
Despite the president’s commitment to “reversing this trend” new reporting shows that it may be awhile before the economy gets back to normal.
With consumer prices rising ahead of the holidays, Americans’ view of the economy seems destined to drop further.
Americans for Tax Reform reports:
The consumer price index increased by 6.2 percent on an annualized basis before seasonal adjustment in October, a 31 year high, according to the Bureau of Labor Statistics (BLS). In October alone, inflation increased by 0.9 percent.
In January 2021, before Joe Biden took over the presidency, annual inflation was at a stable 1.4 percent. Inflation has remained consistently high since Biden took office. While inflation has already hit American families hard, Democrats are pushing policies which would make this problem even worse.
Indeed, research proves that government policies can drive inflation. Our rapidly increasing debt and deficits will only exacerbate this problem.
Speaking to radio host Sergio Sanchez, Sen. Ted Cruz explained how, despite the Democrats’ class warfare rhetoric, their policies harm everyone:
Yet the left remains committed to spending trillions of dollars we don’t have.
Since July of this year, the Biden administration has been insisting this problem would go away. Federal Reserve Chairman Jerome Powell and Treasury Secretary Janet Yellen described this inflation as “transitory.” Evidently, those claims have not held up.
Not only does inflation harm consumers by increasing household costs, but it can also have long lasting economic damage. Inflation erodes purchasing power, especially when wages do not keep up.
Meanwhile, wages have decreased despite the smoke and mirrors from the Biden administration about today’s real average wage. Between September and October alone, average hourly earnings fell by 0.5 percent. Over the past 12 months, earnings decreased by 1.2 percent when seasonally adjusted.
With top-line inflation negating all of the wage gains the Labor Department misleadingly reported last Friday, it’s clear that the American people can’t afford the Democrats’ failed agenda.