President Joe Biden is defending his economic record amidst falling economic growth, accelerating inflation, and discontent among Americans.
In an interview with CNN’s Erin Burnett, President Biden said:
Biden is lying.
President Biden’s statement is flat-out wrong and intentionally misleading.
In January 2021, when President Biden took office the Consumer Price Index reading (CPI) was 1.4%. It topped 9.1% in June of 2022 and fell over the fall of 2022 through 2023. Today it is 3.9%. The Federal Reserve’s target rate for the CPI to be about 2%.
Biden’s reckless spending policies beginning with the American Rescue Plan, continuing with trillion-dollar infrastructure and microchips bills, and concluding with the non-inflation-reducing Inflation Reduction Act have driven inflation to a 40-year-high.
President Biden has blamed Russia invading Ukraine in February 2022, corporate greed, and even junk or swipe fees for credit card purchases.
None of his policies have meaningfully addressed inflation. The Federal Reserve’s increase of interest rates has slowed down the hot housing market and the rippling impacts have led to inflation not rising as fast as in mid-2022. The consequence of high interest rates though is that homebuyers are priced out by high mortgages and homeowners willing to sell are handcuffed to their homes by the low interest rates they enjoy. Meanwhile, rent prices have skyrocketed and other home costs such as insurance are rising fast.
Bottom Line:
President Biden’s claim that inflation was 9% when he took office is a lie.