President Joe Biden is not only in a state of denial about the surge of inflation that his reckless spending has let loose. He continues to lie to the American people.
For example, most recently on September 26th, President Biden claimed that the price of a gallon of gas had decreased “below three bucks” in “some few states.” That’s a lie.
As reported by ABC News, “according to AAA gas price averages by state, no state in the U.S. has an average gas price below $3.00 as of Sept 27.”
On September 26th, the same day that President Biden also falsely claimed that the price of gasoline was “in the low threes in most places,” AAA reported that “the national average pump price hit $3.72.”
During President Biden’s “60 Minutes” interview on September 18th, the president tried to play down the inflation problem. “Inflation rate month to month was just– just an inch, hardly at all,” he said. “We’re in a position where, for the last several months, it hasn’t spiked. It has just barely– it’s been basically even.” This distortion of the real toll that Americans are experiencing from the highest inflation rate in the United States in the last forty years is of little comfort to the millions of people coping with skyrocketing prices for necessities such as food and shelter.
In true Marie Antoinette “Let them eat cake” fashion, the Biden White House threw an Inflation Reduction Act party on the same day, September 13th, that the latest Consumer Price Index (CPI) numbers showed that inflation is not going anywhere anytime soon. James Taylor entertained the White House guests with a rendition of his 1968 hit “Fire and Rain” as the stock market indexes were plummeting. The Dow Jones Industrial Average fell nearly 1,300 points in response to the dismal inflation news. The stock market is still going down as recession looms on top of inflation.
The latest year over year CPI increase from August 2021 to August 2022 was 8.3 percent. The cost of food rose by 11.4 percent year over year, the largest 12-month increase since the period ending May 1979. Electricity prices rose by 15.8 percent while shelter prices rose by 6.2 percent year over year.
The American people are paying outrageously high prices for basic necessities like food, shelter, and gasoline but the Biden White House partied like it was 1999. Perhaps James Taylor should have sung Prince’s hit “1999,” the song from which the words “parties like it’s 1999” came from.
The White House displayed utter tone deafness in holding their celebration of the misnamed Inflation Reduction Act, which will do nothing to reduce inflation, on the same day that the latest CPI numbers were announced. President Biden’s remarks only added to the surreal atmosphere.
“This is the extraordinary story being written today in America by this administration,” the president told his enthusiastic audience. It sure is an “extraordinary story” that has been written by the Biden administration since it took office – an extraordinary story of failure.
An extraordinary story of inflation that has surged to historic levels since President Biden took office.
An extraordinary story of more than two million illegal immigrants crossing Biden’s open border in this past fiscal year alone, who are straining public resources after being released to go wherever they want in the country.
An extraordinary story of rising crime in the streets not seen since the 1970’s.
An extraordinary story of a chaotic withdrawal from Afghanistan, which left 13 American service members dead, American civilians and Afghan allies left behind, and the abandonment of billions of dollars of sophisticated military equipment.
But President Biden was just getting started with his message of self-congratulation. “This is what it looks like when the American government works for the people,” he said.
Just imagine how the American people would be faring if the president and his tax-and-spend fellow Democrats had not worked so hard to pass their fiscally irresponsible legislation. We might have had an inflation rate closer to the 2 percent level that prevailed during the days of the Trump administration when the American people could better afford groceries, gas for their cars, and housing.
President Biden claimed that the Inflation Reduction Act “helped reduce inflation at the kitchen table.” Really? Where are the provisions in this legislation that will help reduce the cost of foods at the kitchen table like meats, poultry, fish, and eggs, which rose in price by 10.6 percent from August 2021 to August 2022? How about the price of cereals and bakery products, which rose by 16.4 percent during the same period, or the price of fruits and vegetables, which rose by 16.2 percent?
The answer is that the highly touted Inflation Reduction Act does absolutely nothing to help reduce the pain of these rising food prices for the American people. The same is true for the price of shelter, which rose 6.2 percent from August 2021 to August 2022, unless you want to live in a federally subsidized electric vehicle or perhaps inside a wind turbine.
When White House Press Secretary Karine Jean-Pierre was asked what the Inflation Reduction Act would do to reduce inflation in the short term, she fumbled for an answer. “So I — I — when you look at the lowering costs, in particular, for Americans,” she said, “I think that’s important when you think about how inflation has — has increased cost for American — Americans,” before citing some small potential savings in Obamacare premiums.
Claiming that the Inflation Reduction Act will reduce the deficit, President Biden said, “I don’t want to hear it anymore about “big spendin’ Democrats.” We spend but we pay.”
Yes, Mr. President, you are paying. You are paying off college student loans with taxpayer money and with no plan on how to offset the enormous cost.
During an address on September 23rd at a Democratic National Committee event, President Biden said that because of the reduction in the deficit that he claimed credit for, “we can afford to cancel $10,000 in student debt and $20,000 if you’re on a Pell Grant for tens of millions of Americans making under $125,000.” That is another one of the president’s whoppers. We cannot afford this reckless program at all.
The non-partisan Congressional Budget Office (CBO) issued a letter on September 26th stating that, after accounting for suspended loan payments, interest accrual, and involuntary collections from September 2022 to December 2022, “CBO estimates that the cost of student loans will increase by about an additional $400 billion in present value as a result of the action canceling up to $10,000 of debt issued on or before June 30, 2022, for borrowers with income below specified limits and an additional $10,000 for such borrowers who also received at least one Pell grant.” The CBO added that the net effect will be to “increase the amounts that the federal government borrows over time.”
The University of Pennsylvania’s Penn Wharton Budget Model had estimated a higher cost incurred for the debt cancellation portion of President Biden’s plan alone than the CBO estimated – as much as $519 billion over 10 years. If all elements of President Biden’s student loan relief plan are taken into account, the cost estimate would be significantly higher.
This college student loan giveaway is yet another example of reckless spending by the Biden administration, with the backing of tax-and-spend congressional Democrats, which is adding fuel to the inflation fire. President Biden wants the American people to believe him that inflation is under control rather than believe what they are experiencing every day in their own lives as they try to make ends meet. His smoke and mirrors won’t work.