The Biden administration is repackaging its economic policies as what it calls Bideconomics. 

The opposite of Reaganomics—which promoted economic growth through federal spending cuts, deregulation, and tax cuts—Bidenomics prioritizes massive federal spending, tax increases, and increased regulations.

President Biden claims that his economic agenda is working to improve the economy taking inflation as an example.

In an address, the president made a pitch to the public that he is bringing down prices. Is it true that Bidenomics is bringing down inflation?

Today, inflation is less than half — less than half of what it was a year ago — and that inflation caused by Russia and by the war in Ukraine and by what was going on. But we knew we had more to do. There’s more than one way to bring down the costs. Another expression my dad used to use — for real, he’d say, “Joey…” — he said, “At the end of the month, the question is, after you pay all your bills, do you have just a little left for breathing room? Just a little left for breathing room. All your bills paid; do you have anything left?” Well, inflation eats into that obviously. But guess what? Bringing down the cost of medication goes a long way to giving you a little more.
President Joe Biden

False. Completely make believe.

Bidenomics is responsible for driving inflation higher, not for bringing it down.

President Biden’s statement is misleading. He conveniently pegs the comparison of today’s consumer price index or CPI (inflation) to one year ago. Instead, he should compare today’s inflation rate to that of two years ago or perhaps when he took office.

One year ago, CPI topped 9.1% and today it’s 4%. However, when President Biden took office, inflation was 1.4%, even below the Federal Reserve’s target for inflation. The Fed would like CPI to be about 2%.

Biden’s policies and massive congressional spending have been drivers of 40-year-high inflation. Instead of admitting this, the President is digging in deeper with reckless spending solutions such as the mislead-named Inflation Reduction Act. 

To be clear, Russia invaded Ukraine on February 24, 2022. By then inflation had already climbed to 7.9%, so Russia is not the cause of high inflation.

Even the argument that inflation was everywhere, fails against economic data.

President Biden insisted on his own stimulus package and injected nearly $2 trillion of federal money into the economy at a time when it was reopening and recovering from the pandemic. That spending was inflationary. 

Since then, none of his policies have meaningfully addressed inflation. The Federal Reserve increasing interest rates has slowed down the hot housing market and the rippling impacts have led to price increases decelerating.

Bottom Line:

President Biden’s claim is very misleading. Bidenomics is the source not the solution to high inflation.