Three years ago this month, unmistakable signs emerged that inflation was ascending out of control.
The Biden administration, however, imperiously dismissed growing concerns and even insisted that everything was heading in the “right direction.”
Consumer prices that month surged at a 5.4% annual rate, the highest since 2008, greatly exceeding economists’ forecasts. That was four times the 1.4% rate that Biden inherited from Donald Trump less than five short months earlier.
In a statement that obviously hasn’t aged well, White House Council of Economic Advisers member Heather Boushey asserted that, “Today’s data on inflation is the latest indicator that things are both moving in the right direction.” The following month, Biden advisers infamously shifted to claiming that inflation was merely “transitory.”
That was about the same time that Biden himself, the supposed steady hand and international relations wizard, also assured Americans that the Taliban wouldn’t regain control of Afghanistan following American withdrawal.
Former White House Press Secretary Jen Psaki even callously made light of rising prices hitting consumers, joking about “the tragedy of the treadmill that’s delayed.”
Instead, as we now know, inflation moved in the wrong direction and reached 9.1% in June 2022. Today, three years later, overall consumer prices are a whopping 20% higher than when Biden entered office.
Painfully higher prices, however, aren’t the only way in which Americans have suffered during the Biden era. Responding to higher prices, the Federal Reserve was forced to raise interest rates, which in turn has led to record levels of credit card debt and unprecedented unaffordability of housing and rent.
Further, as reported by Bloomberg this week, approximately two-thirds of middle-class Americans now report that “they are facing economic hardship and don’t anticipate a change for the rest of their lives.” According to the survey on which it relied, some “40 percent of all Americans are unable to plan beyond their next paycheck, and 46 percent don’t have $500 saved for a rainy day.”
Biden constantly claims that he’s rebuilding the economy “from the bottom up and the middle class out,” but the middle class itself obviously maintains a depressingly different perspective.
In the face of that ongoing economic adversity, which explains why Biden now maintains the lowest approval rating of any president at this point in his tenure, he insists that “the American economy remains strong, with continued steady and stable growth.”
Here’s the problem.
In making that claim, Biden and his defenders rely upon gross domestic product (GDP) reports, which measure overall economic growth.
Two years ago, however, the Biden administration denied the importance of that very same metric.
Specifically, the U.S. economy entered an economic recession under the longstanding definition as two or more consecutive quarters of economic contraction. According to official government data, the first quarter of 2022 registered a 2.0% contraction, and the second quarter 0.6%.
To that point, Biden economic advisers like Jared Bernstein had publicly asserted as recently as 2019 that a recession “is typically defined as two consecutive quarters of declining growth.”
When two consecutive quarters of declining growth subsequently occurred on Biden’s watch, however, they brazenly insisted that, “two consecutive quarters of GDP growth is not the technical definition of a recession. It’s not the definition that economists have traditionally relied on.”
So which is it?
To the extent that Biden insists on citing GDP growth, it belies his recurring claim that he inherited a U.S. economy “flat on its back.” After contractions of 5.3% and 28.0% in the first two quarters of 2020 as the Covid pandemic hit, the economy surged in the third quarter of 2020 by 34.8% and by 4.2% in the fourth quarter. One year later, that had slowed to consecutive quarters of contraction and a recession under Biden.
Accordingly, the Biden administration’s newfound reliance upon GDP exposes its transparent desperation less than five months before November’s presidential election. Whatever value GDP maintains in the abstract, everyday Americans remain more concerned with the day-to-day economic pain that they suffer in terms of food, housing and gas costs under Biden.
Time may have already expired to reverse that course before November, so expect more contradictions and hypocrisies from Biden and his defenders between now and then.
Timothy H. Lee is Senior Vice President of legal and public affairs at the Center for Individual Freedom.
Reprinted with Permission from CFIF.org – By Timothy H. Lee
The opinions expressed by columnists are their own and do not necessarily represent the views of AMAC or AMAC Action.
Joe Biden is a weak, blithering imbecile who doesn’t care about anything but adding to his family wealth. Why, why, why? would anyone with a fully functioning brain ever vote for a continuance of his middle class destroying policies by voting for him again.
Here’s a suggestion for AMAC. If you want to write an article on economics, then get someone with a background in economics. Biden has made a total hash of the economy over the last 3 1/2 years for a number of reasons that can be laid out in succinct fashion, but having someone whose background is legal and PR affairs isn’t the right choice for the task. What you end up with is a sort of muddled mess that is all over the place and fails to articulate the case properly.
Dictator Beijing bidens $1.2 Trillion Infrastructure has made ZERO progress except for Higher Inflation (Still Increasing) Higher Unemployment, Record Death Rates with Record Suicide Rates and Food One-Third the size of FULL Size Servings in ALL Food Products. Sells our Farmland to Communist China. Has Jets spraying Toxic Chemicals in the Air everyday. Just look up. Higher Fuel and Utility Prices with Higher Insurance Premiums, Higher Interest Rates, Homes DOUBLED in Prices, Vehicle Prices DOUBLED, Taxes Quadrupled and he keeps Increasing Taxes. Then we have the country SHUTDOWN for over 2 years with MILLIONS upon MILLIONS of his ILLEGAL ALIEN TERRORIST INVASION being scattered all over the country WITHOUT any Papers, Documentation, Vetted, Vaccines, Wearing Masks or whereabouts UNKNOWN to keep committing more crimes and able to commit Terrorist Attacks. At the same time they are DRAINING our Food, Medical and all other resources. His Illegal Alien Terrorist Invasion has left Hospitals with BILLIONS in bills that he expects us to pay for. Our schools being INVADED by Illegal Alien Terrorist. He’s giving everything to Illegal Aliens while taking it away from OUR children. While at the same time they are bringing in Diseases and Viruses including non-indigenous animals and insects into our country along with ALL their TRASH, Mentally Ill, and Criminals. Look at the over 5,000 percent increase of Measles in NY, Chicago, LA and rest of liberal states when we had Measles eradicated in the U.S. Just like obama bringing in Ebola. Dictator Beijing biden still hasn’t said the names of the 13 U.S. Marines he got killed. Surrendered to Terrorist in Afghanistan giving them over $86 Billion in U.S. Military equipment and weapons with assault rifles, explosives, and the largest runway in the world that we paid for. Not to forget that he pardoned 2 Terrorist in 2023 with a murderer. Sets murderers free. Corrupt Judges and DA’s, Weaponized ALL Federal agencies. Has the IRS armed with Guns. In 2023, 75 percent of people audited made less than 25,000/yr. and Less than 1 percent of people with a million or more were audited. FACT. Record High Fentanyl Deaths and Human Trafficking. Emptied our National Strategic Oil Reserves to Communist China which he still hasn’t refilled to this day (Espionage and High Treason) and then DRAINS our Emergency Gasoline to play politics again with our Fuel and Oil. Registers ILLEGAL ALIEN TERRORIST to Vote ILLEGALLY and UNCONSTITUTIONALLY to RIG the 2024 Presidential Election. More Election Fraud. Goes after President Trump with ILLEGAL and UNCONSTITUTIONAL Indictments who is his NUMBER ONE Presidential opponent in 2024 Presidential Election. Not to forget Unconstitutional appointed DA’s to play politics financed by Soros. Gives BILLIONS to Terrorist Iran just like obama supporting Terrorist. Finances Ukraine War and DEPLETES our Ammunition while turning our Military into the PINK Brigade. Plays politics with the LOSER WOKE, ESG, CRT garbage. Destroys our children’s education and brainwashing children 4 and 5 years old to be the sick transgender garbage. Remember, obama was the one who had the Psychology Association change the definition of homosexuality from mentally ill to normal for votes. On first day of Dictator Beijing biden being in office Illegally and Unconstitutionally he flew the LOSER Pride flags over the White House and ALL U.S. Embassies ILLEGALLY and UNCONSTITUTIONALLY. The Whole World laughing. Let’s not forget that he wouldn’t even celebrate July 4th. Continues to lie about the China Virus protecting Fauci and Communist China. Continues to support and send our Jobs to Communist China and giving them to Illegal Alien Terrorist. Continues to push CENSORSHIP and ATTACK our U.S. Constitutional Rights but gives Illegal Alien Terrorist more rights than Americans. Then we have the Communist Chinese SPY Ballon’s that flew over the U.S. for weeks and over our Military Installations while taking vacations every weekend and waiting for poll results to decide whether to do anything. Has spent OVER 40 percent of his time on vacation since in WH all the while Americans CANNOT AFFORD anything though he says Americans have money to spend. This list goes on. I like vast majority of Americans haven’t seen anything get better but WORSE and continues to get WORSE. Oh, not to forget that Dictator Beijing biden has us on the Brink of WWIII and we have NO Military AMMUNITION. Just so you know, he is only replacing One Shell for every 4 used.
Borders are still Open despite his political executive order which does NOTHING and the Illegal Alien Terrorist are still here. Then don’t forget ALL the Illegal Chinese Police Stations in the USA which is another INVASION and Act of WAR that Dictator Beijing biden has nothing about. The list goes on. Finally, yesterday on the 80th Anniversary of D-Day he collapsed into a non-existent chair. Another MAJOR embarrassment. The WHOLE WORLD has been laughing at us while paying the price too. So, as you see. We are NOT better off and the world is more dangerous than ever with crime running rampant and PRICES CONTINUE TO RISE.
Another reason why I am Voting for President Trump. President Trump helped make us NUMBER ONE in the WORLD with being ENERGY INDEPENDENT while we had MORE MONEY in OUR POCKETS and MORE MONEY in Retired Savings, LOWER TAXES with LESS Government and the World MUCH SAFER with Our BORDERS SECURED.
Vote President Trump.
GDP???? What GDP??? If our GDP is so great then why are all those freight ships coming from China loaded with everything the US should be making????
biden has ruined the economic structure of this country to the point of no return. I have not been able to afford a half way decent piece of beef in over four years! My grocery bill has more than quadtripled, my electric is massive, my insurance rates are laughable, cable tv is a big fat joke! As i said before and again and again A VOTE FOR biden IS A VOTE FOR INSANITY!
Here is some economic common sense, for people who have common sense and are in a state of economic emergency – if someone with common sense wants to have a container of water they are going to use a container that will hold the water – they will not use a container that has a hole in it. That is just a bit of humor – which is always good to have during emergencies of any kind. There is navigation that considers getting from where someone is located to a destination some distance away.And then there is navigation that has to do with an emergency situation that utilizes any and all methods of getting to a safe location , out of harm’s way, and will piece together whatever bits of information are available in order to do that.. Economics concerns the production, distribution and use of goods and services and similar to public health there are people who can contribute to the betterment of things, the betterment of life, who may not have degrees or are in positions that are an influence on the particular issue being considered. For example, there are public health doctors and public health lawyers and then there are people who simply recognize that a situation needs attention , like something causing some form of pollution, and they do something to stop the pollution. Or someone in the water works field who is involved with providing clean, safe water on a regular basis. With economics there are many ways to look at situations that need improvement and with imagination, ingenuity and a sense of doing what is right will advance and increase knowledge just as well as a professional economist would do. So, it is all a matter of circumstances and how people will react to situations that need to be given attention in order to maintain a standard ,in order for things to function properly. Good article Mr. Lee , your blend of political and economic writing has a place where consideration of both politics and economics and how they effect each other is needed.
The US has been in a downward spin ever since the imbecile took office. Hopefully enough people …including demonrats can see that and won’t vote for the idiot again…. although I still don’t believe he actually WON the last elections and anyone watching the results on tv at the time know he did not win.
Claiming this is a good economy will work especially with voters who don’t know what it means. Community organizers have replaced practical, factual education in some cases.
We have to see how many voters don’t know and believe propaganda.
It’s tempting to wonder, “How stupid do they think we are?” When the real question seems rather to be “How stupid are we.”
Joe says he won’t raise taxes on the middle class…YET! But, he sure has managed to raise the cost of living. Next on his agenda is to raise the cost of dying. And, since the Dumocrats are in favor of infanticide… there won’t be a next generation to suffer under their socialist regime.
This guy presents a dichotomy–Is he lying or is he so ignorant he actually believes what he reads off the teleprompter.
The only people who were having a good economy were those politicians receiving kickbacks from all of our tax dollars they were sending overseas and their investments in the pharmaceutical companies. They got money back from the military-industrial complex on the weapons that were being purchased and from all the fake vaccines they have been forcing on people. These elites do not care about the average citizen other than how much money they can squeeze from us. They lie about everything; the border, inflation, Hunter’s laptop. If their lips are moving they are lying to us. The only politician I know of in recent memory who did what he said he was going to do, as much as the rest of DC allowed, was Donald Trump. Now lying FJB wants to say that the border is Trump’s fault because he didn’t finish the wall. He couldn’t finish the wall because the Democrats blocked and interfered with its construction in every way they could. Now we get bald-faced lies and they hope the people have a short memory and don’t remember how much they interfered and then once the stole the election, they ran and tore down parts and let the construction materials already purchased rot in the field.
Is Biden’s brain under some kind of compression? I’ve never been close enough to notice, but, if there’s a Schrader valve somewhere on that unknowing noggin, somebody should press it and release some of that stale, compressed air (must smell awful in there). That way, perhaps, what’s left could function well enough to keep him from falling over, and, hopefully, make it back to his desk to sign his resignation letter for us.
Dear the cult,your economy,your anti AMERICA,anti Conservative,pro foreigner,pro aliens that crash any of AMERICAS borders,really does suck,but then it does show your at risk mentality.
The problem is that government redefined inflation years ago to hide the problem. Only the printers of money can create inflation. It’s a function of devaluing the currency. In the U.S., congress is supposed set the value of our money. Instead, two presidents (FDR, RMN) have usurped that responsibility. Now, we have a currency that has no real value. There was a phrase, common at the time of the adoption of the Constitution, referring to the value of Continental currency. That is that something of no value wasn’t even worth a Continental. Tried buying a Continental lately?
any discussion of economics needs to start with some agreement on terms. That’s not possible with dialectical Marxists who will redefine terms to fit their narrative. Bide is clearly a Marxist, so no matter what he says, it’s by definition truth.
It’s not hypocrisy, it is, like almost everything that comes out of Joe Biden’s mouth, a blatant lie. There has never been an American politician who lies so outrageously, so incessantly, so shamelessly and, often, so pointlessly. From Corn Pop and black kids playing with the hair on his legs, to his multiple degrees, to his law school class ranking, to his arrest trying to see Mandela, to his marching with MLK, to his growing up in the Black/Greek/Puerto Rican/Italian church, to his history driving 18-wheelers – the lies never stop.
He’s obviously a sociopath, but I think he has more serious mental illness than that, even before his current rapidly accelerating senility.
This isn’t biden being hypocritical. It’s biden and his cronies outright ling and trying to BS the Citizens.
From Biden we can never expect anything else! Nothing good comes from that man.
It’s Trump’s fault, I’m sure the trial is coming.
Biden was chosen for the office because less he knows and is aware of easier he is to handle He has not one own idea of what the reality is How can a puppet led and manipulated be held responsible for the disaster around him He is loathsome but not a creator of the catostrophy around him Will the true president please stand up
hello