Since the start of the Biden administration, Americans have witnessed significant economic decline. What is being touted as “Bidenomics” by Democrats has consisted of massive government spending, with most of the money going to “green” initiatives. For most of Biden’s administration, Americans have suffered growing inflation, which has amounted to pay decreases for many workers.
In recent months, Democrats have tried to claim Bidenomics as a success. Inflation, which is still higher than normal, has gone down from 2021 or 2022. It appears the White House is trying to claim victory. But a major policy decision by the Biden administration is coming back to hit Americans harder than ever before. And it has ramped up inflation, big time.
The pace of inflation in the U.S. moved sharply higher in August, pushed up by a big jump in gasoline prices.
The consumer price index rose 0.6 percent compared with the prior month, three times the monthly rate recorded in July. Compared with a year ago, the index is up 3.7 percent, more than the July reading of 3.2 percent.
Inflation jumped by 0.6 percent in August, compared to the prior month–three times the monthly rate recorded in July. This index is up by 3.7 percent from a year ago, meaning inflation is getting worse, not better.
Experts are blaming a “big jump” in gasoline prices. At the start of Joe Biden’s presidency, he issued a ban on drilling leases on federal land. This dramatically restricted how much oil and natural gas American companies could produce for American homes. This resulted in a rise in the cost of gasoline and energy, made worse by the Russian invasion of Ukraine.
In recent months, top global oil producer Saudi Arabia announced cuts to production. Because the United States is not off-setting those cutbacks with production of its own, energy prices are skyrocketing. A particularly hot summer has led to increased demand at the very worst time, as energy companies struggle to provide electricity.
That has had a detrimental impact on the price of consumer goods since high energy prices affect everything from the cost of producing goods to transportation. Because of this, even basic necessities are costing more. Food prices rose 0.3 percent over the month. That is 4.3 percent higher than last year.
- Inflation rose in August 2023, thanks to skyrocketing gasoline prices.
- Biden and Democrats have claimed inflation was “fixed,” despite ongoing price hikes.
- Biden restricted energy production back in 2021, which has continued to hurt prices.