Politico admits that Biden’s inflation pivot is likely to come across as “tone-deaf” and a “hard sell.”Meanwhile, the Federal Reserve downgrades U.S. economic growth.
Posted BY: Jamie White
The panicked Biden administration has launched a full-throated pivot on accelerating inflation ahead of the midterm elections.
In addition to Joe Biden penning an op-ed claiming he has a “plan” to fight inflation and meeting with Federal Reserve Chairman Jerome Powell to discuss inflation, Biden plans to deploy his cabinet on a media blitz to reassure Americans that – despite their suffering at the fuel pump and the grocery store – the economy is actually thriving.
Trending: Biden’s Energy Inflation Is No Accident
Biden’s big problem though, according to Politico, is that his gaslighting about a strong and wonderful economy flies in the face of the everyday economic realities Americans face in terms of record-high food and fuel prices.https://politico-playbook-audio-briefing.simplecast.com/episodes/may-31-2022-inside-bidens-june-pivot-to-the-economy
“Biden’s desire to turn June into an inflection point for his trajectory has some serious challenges,” Politico reported Wednesday.
“As of Memorial Day, gas prices have surged to a national average of $4.619 a gallon, per Bloomberg’s Jack Wittels. Not only is that a new record, but it’s also close to half a buck higher than one month ago. Baby formula shelves are still empty in most parts of the country. And in those grocery store aisles that are full, prices are eye-popping (bacon, for instance, is more expensive than ever — more than $9 in some grocery stores).”
“Given all of that, there’s a serious question about whether the president can actually convince voters that the economy is doing well. But that doesn’t mean he isn’t going to try,” the publication admitted, adding that “until it’s reflected in the lived experiences of everyday Americans, it’s likely going to be a hard sell to convince them that the economy is in better shape than they think.”
Not only that but Biden’s gaslighting campaign could severely backfire on his Democrat allies heading into the midterm elections, especially given most Americans blame Biden – not Russia or COVID – for rampant inflation.
“Polling has shown that voters’ top concerns this year are the economy and inflation. Telling them that their day-to-day worries are not supported by macroeconomic data — or, as Biden writes, that ‘the U.S. is in a better economic position than almost any other country’ — is risky and could come across as tone-deaf, something frontline Democrats in swing districts have been concerned about,” Politico reported.
There also appears to be conflicting messaging between Biden and the Federal Reserve.
Notably, a key tenet of Biden’s plan to fight inflation is to leave the Fed – which has also been painfully behind on inflation – to its own devices.
The Fed’s money-printing is not only the central cause of U.S. inflation over the last year, but it’s continuing to expand its balance sheet while only raising rates to less than 2% despite sustained inflation of over 8%.
In other words, Biden’s main plan to fight inflation is to trust the very (private) institution that caused skyrocketing inflation in the first place.