Inflation in America: A Unifying Force Across Political Parties
By Inflation in America is continuing to come down, which is good news for families and businesses across the country, according to President Joe Biden.[0] The Labor Department reported that the Consumer Price Index (CPI) rose 0.5% in January, part of a 6.4% increase over the last year.[1] This marked the seventh consecutive month of cooling inflation, although it was slightly higher than expected.
The CPI measures the prices of everyday goods such as gasoline, groceries, and rents.[2] Consumer prices have increased 14.4% since Biden took office in January 2021.[3]
Democrats and Republicans alike have had to contend with the rise in prices, with 77% of all respondents in an I&I/TIPP poll saying that inflation is causing financial hardship for them and their families. The poll showed that both parties agreed that inflation was an issue, with 75% of Democrats, 81% of Republicans, and 75% of independents saying they were suffering from inflation.[4]
The Federal Reserve has aggressively raised interest rates to combat inflation, bringing the benchmark federal-funds rate from near zero to a range between 4.5% and 4.75%. The Fed is expected to continue raising rates this year to keep prices in check.
In response to rising inflation, Republicans have been critical of Biden, blaming him for causing inflation.[5] In a statement, House Ways and Means Committee Chairman Republican Jason Smith of Missouri declared that President Biden is in denial and has not devised any strategies to halt the inflation he initiated.[6] He argued that Democrats must come to the table with Republicans to “find common-sense solutions to root out wasteful spending that is fueling inflation.”
However, while Biden likely doesn’t deserve the blame for inflation’s rise, he also can’t credibly claim to be responsible when it goes back down.[7] In his Wisconsin speech earlier this month, Biden noted that annual inflation has fallen for seven straight months, and real wages have picked up over that period.[8]
Inflation is an issue that continues to divide Americans, but it has become a unifying force in that everyone is feeling the pain of rising prices. As Congress and the White House continue to negotiate over the debt ceiling, both parties must come together to find common-sense solutions to reduce wasteful spending and combat inflation in order to help American families and businesses.
0. “Statement from President Joe Biden on January CPI Report” Forex Factory, 14 Feb. 2023, https://www.forexfactory.com/news/1205581-statement-from-president-joe-biden-on-january
1. “Biden Touts Cooling Inflation, Points to Global Causes” The Wall Street Journal, 8 Feb. 2023, https://www.wsj.com/livecoverage/state-of-the-union-2023-president-biden/card/biden-touts-cooling-inflation-points-to-global-causes-g6hEene97i8AuY0yP5UW
2. “Republicans blast Biden after latest inflation report, say president ‘living in an alternate reality'” Fox News, 14 Feb. 2023, https://www.foxnews.com/politics/republicans-blast-biden-latest-inflation-report-president-living-alternate-reality
3. “Biden taking added fire as food, shelter, gas get more expensive” Heartlander News, 14 Feb. 2023, https://heartlandernews.com/2023/02/14/biden-taking-added-fire-as-food-shelter-gas-get-more-expensive/
4. “Issues & Insights Poll: 77 Percent Blame Biden for Financial Hardship” Newsmax, 13 Feb. 2023, https://www.newsmax.com/newsfront/poll-joe-biden-inflation/2023/02/13/id/1108452/
5. “Does the President Have Control Over Inflation?” The New Yorker, 11 Feb. 2023, https://www.newyorker.com/business/currency/does-the-president-have-control-over-inflation
6. “State of the Union Showed Biden Has No Plan to Provide Americans Relief from His Inflation Crisis – House Committee …” Ways and Means Committee, 14 Feb. 2023, https://waysandmeans.house.gov/state-of-the-union-showed-biden-has-no-plan-to-provide-americans-relief-from-his-inflation-crisis
7. “ABC, NBC, CBS evening newscasts barely scrutinized Biden on inflation, study finds” Fox News, 13 Feb. 2023, https://www.foxnews.com/media/abc-nbc-cbs-evening-newscasts-barely-scrutinized-biden-inflation-study-finds
8. “Biden hails inflation report, GOP says not so fast” The Hill, 15 Feb. 2023, https://thehill.com/newsletters/business-economy/3858458-biden-hails-inflation-report-gop-says-not-so-fast/
