- A top Federal Reserve official warned of growing risks of inflation, including from additional government spending being contemplated by the Biden administration.
- “If those dynamics should lead this “transitory” inflation to continue too long, it could affect the planning of households and businesses.”
- “This could spark a wage-price spiral that would not settle down even when the logistical bottlenecks and supply chain kinks have eased.”
To read the remarks by Federal Reserve Vice Chair, Governor Randal K. Quarles, click here.
Bidenflation continues to spin out of control
- A new Federal Reserve Bank of San Francisco analysis confirms that the Biden Administration’s $1.9 trillion emergency spending earlier this year boosted Bidenflation.
- Not only has the $1.9 trillion spending spree caused prices to skyrocket – it’s also failed to deliver on the President’s jobs promises and worsened the labor shortage.
- Although congressional Democrats and the White House claim that inflation is transitory, higher prices are likely here to stay. Inflation expectations among consumers, businesses, and the markets are all above their normal levels.
- Pushing through Democrats’ crippling $3.5 trillion tax-and-spending bill will only worsen Bidenflation, shrink paychecks, and increase prices, leaving American families further behind.
The Federal Reserve’s key measure for inflation — the personal consumption expenditures price index (PCE) — is on track to hit a 40 year high.
- Democrats’ endless spending and War on Work is preventing workers from returning to the workforce, leaving Main Street businesses struggling to fill jobs, workers with shrinking pay, and American families with higher prices.
- Because of Bidenflation, the purchasing power of a typical household is on track to lose over $4,600 after President Biden’s first full year of office. Experts at Moody’s Analytics say that families are spending at least $175 more per month on food, fuel, and housing.