The Briefing Room
General Category => Politics/Government => Topic started by: mystery-ak on August 04, 2022, 10:09:42 pm
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2 hours ago
Over 230 economists warn Manchin's spending bill will perpetuate inflation
Economic experts claim that Manchin's Inflation Reduction Act will actually make inflation worse
By Kelly Laco FOXBusiness
A letter sent to House and Senate leadership from 230 economists argues that the Infrastructure Reduction Act is expected to contribute to skyrocketing inflation and will burden the U.S. economy, contrary to President Biden and Democrats' claims.
The economists wrote in the letter first obtained by Fox News Digital that the U.S. economy is at a "dangerous crossroads" and the "inaptly named ‘Inflation Reduction Act of 2022’ would do nothing of the sort and instead would perpetuate the same fiscal policy errors that have helped precipitate the current troubling economic climate."
Sen. Joe Manchin, D-W.Va., announced last week he reached an agreement with Senate Majority Leader Chuck Schumer, D-N.Y., on the $739 billion reconciliation package after more than a year of negotiations among Democrats.
The economic experts point to the $433 billion in proposed government spending, which they argue "would create immediate inflationary pressures by boosting demand, while the supply-side tax hikes would constrain supply by discouraging investment and draining the private sector of much-needed resources."
They also write that of "particular concern" is the corporate minimum tax that they say will undercut efforts to restore functioning supply chains.
In addition, the bill's prescription drug provisions "would impose price controls that threaten healthcare innovation, creating a human health toll that would add to the financial woes that Americans are already experiencing."
more
https://www.foxbusiness.com/politics/230-economists-warn-manchins-spending-bill-will-perpetuate-inflation
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Economist is one of those professions where accuracy is desired, but not required - like weather forecasters, political pundits, and IT consultants.
(https://i.imgflip.com/2tu2dw.jpg)
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You're kidding me it takes an economist to grasp that throwing gas on fire will make the fire burn hotter?