American Thinker by Michael Busler 5/30/2021
Aside from the blunders President Biden has made concerning the border crisis, energy policy and foreign policy, his biggest blunders are on economic policy. Based on his latest budget proposal, he is trying to commit his biggest blunder.
Biden’s proposed budget vastly increases government spending and government taxation, while creating trillion-dollar annual budget deficits well into the future.
Let’s factually take a look at the current situation. The economy right now is growing at the fastest pace in nearly four decades. It is likely that growth this year will hit 8%. Last quarter we grew at 6.4%, up from 4.2% the prior quarter. The economy is growing very well, and we are near the level that we were prior to the virus. There is no problem with growth.
But inflation is a problem. Despite the administration’s position, inflation is right now a serious problem that will get worse the longer we wait to react to it. Biden’s budget proposal will make the inflation problem much worse.
The inflation data is presented in a number of ways to consumers. Sometimes a monthly price index is given, which compares consumer prices to the prior month. Sometimes the index is compared to the same month last year.
The critical and most valuable information tells us what is happening now. From January to April of this year, the monthly Consumer Price Index went from .3% to .4% to .6% to .8%. That means since January inflation is running at about a 6% annual rate and it is increasing.
To stop this from getting worse, the federal government must change both Monetary and Fiscal Policy, immediately.
More:
https://www.americanthinker.com/articles/2021/05/bidens_budget_is_one_more_biden_blunder.html
