The Price Index tracking consumer spending in the United States rose by 3.6%, the biggest jump since the economic downturn of 2008. While shortages caused by COVID-19 lockdowns are partly to blame, it’s hard to ignore the fact that the Biden Administration is actively pushing for policies that would make things even worse.
Not content with handing out nearly $2 trillion in “aid” to the public and state governments, President Joe Biden and his allies are looking for ways to throw even more money into the economy while at the same time limiting the importation of needed goods into the United States.
The evidence for inflation is impossible to miss. It’s so bad that even CNN concedes that the cost of food, lumber, used cars, and a host of other goods is rising. The cost of buying a new home is rising exponentially as the cost of the raw materials used for home construction is either in short supply or rising in value. The cost of gas is on the rise, and the mainstream news media is warning that there could be shortages of fuel during the hot summer months when hundreds of millions of Americans are most likely to travel.
Oddly, many mainstream outlets refuse to lay the blame where it belongs, and that is on the Biden Administration. Even so, it’s not hard to connect the dots between the President’s bad decisions and the current state of the economy. It’s also not hard to see how things could easily get much worse in the coming months.
Democrats in Congress are agitating for more COVID-19 relief checks for the masses, and many want to convert these into monthly payments. With more money being artificially pumped into the economy, costs will double as more money chases a dwindling quantity of goods.
President Biden has refused to allow new leases for fossil fuel drilling on Federal lands, and recently put a halt on lease contracts approved by the Trump Administration just over a year ago. A lack of affordable fuel is the direct result of Democrats’ push to “stop climate change” by reining in the fossil fuel industry.
Additionally, President Biden is set to hike tariffs on lumber imports from Canada, a move that will send housing prices soaring even higher, making it difficult if not impossible for would-be first-time homeowners to buy a home.
Inflation happens when there is a lot of money in circulation but not enough goods or services available to purchase. It’s not good for the economy, and it hurts the very people that Democrats claim they want to help. Even so, the Biden Administration is continuing the push to inject even more money into the economy while limiting the products and services.
The President’s decisions make it clear that he and his advisors either don’t know how to manage a successful economy, or simply don’t care about economic prosperity.