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Fact Check: Biden Has Crashed the Economy and Wants to Blame Republicans

October 24, 2022

President Biden has shrunk the economy and fueled inflation. His $2 trillion partisan so-called stimulus paid workers more to stay at home than go to work, causing a labor shortage that’s harming Main Street and raising prices. His so-called Inflation Reduction Act will actually increase inflation, while raising taxes on Made-in-America manufacturers and working families. 

Yet while touting his unfair student loan giveaway, which will add nearly half a trillion to the U.S. deficit this year, President Biden warned that Republicans would “crash the economy next year.” 

Here are the facts:

CLAIM: After spending trillions, President Biden claims that Republicans will crash the economy.  

FACT: Experts anticipate a recession, if we aren’t already in one, and a shrinking economy.

  • More than 20 forecasters project the economy will shrink this year, with 11 projecting the economy will shrink this year and next.
  • According to a new Bloomberg Economics model, a Biden recession “effectively certain,” and will happen much sooner than anticipated.
  • Similarly, a Wall Street Journal survey of economists put the probability of a recession in the next year at 63 percent, which is up 14 percent from July.
  • The majority of chief executive officers (CEO) surveyed by CNBC believe there will be a recession in the next year. Only a third believe it will be a “short” or “mild” recession, while 51 percent are considering layoffs in the next six months.
  • More than a third of chief financial officers (CFO) believe the U.S. is either already in a recession, or will be in one before the end of the year. 

READ: Bracing for Biden’s Recession, Majority of Families Delay Major Purchases

CLAIM: President Biden is repeating a twice debunked zombie claim that Republicans want to cut Social Security and Medicare. 

FACT: Independent fact checkers have debunked this claim. Republicans want to strengthen Social Security and Medicare for future generations.

  • The Washington Post has debunked both the false claims that Republicans want to raise taxes and slash Social Security and Medicare, awarding President Biden “three (almost four)” Pinocchio’s. 

READ: Fact Check: Nine Misleading Claims in President Biden’s Inflation Denial

CLAIM: Democrats claim they won’t harm Social Security and Medicare. 

FACT: Democrats’ tax-and-expand solutions have put both of these vital programs on unstable footing.

READ: Fact Check: With Inflation Raging, Democrats Celebrate with Misleading Claims on Rising Health Care Costs