We recently highlighted how President Biden’s mismanagement of the economy, by spending trillions of taxpayer dollars on liberal wishlists disguised as “COVID relief,” while paying people to stay home and not produce goods has left Americans paying more for everything from groceries to gasoline. His tax-and-spend agenda spiked consumer costs across the board, resulting in levels of inflation not seen since Jimmy Carter was president.
But if you thought the worst was behind us, the most recent consumer price figures indicate that Biden’s latest crisis might just be getting started.
In grocery stores, food prices increased by 3.5 percent on average. For context, over the past twenty years the average annual level of retail food inflation has been 2 percent. That means the increase in the price of groceries over the past year was 75 percent above average.
Similarly, restaurants throughout the country are being forced to increase menu item prices to cover the cost of raising workers’ wages in the midst of President Biden’s labor shortage. Chipotle Mexican Grill reported having to hike their menu prices by roughly 4 percent, despite CEO Brian Niccol stating “the company prefers not to raise its prices,” but that “the move made sense in this scenario.” They aren’t alone: the cost of a meal out is up 4.57 percent across the board since the pandemic began.
Practically every major industry has been similarly affected. Across-the-board commodity price increases of this magnitude haven’t been seen since the beginning of the global financial crisis, and before that, the 1970s.
In Biden’s America, consumers are paying significantly more for everything from lumber, to used cars, to natural gas. Parents have surely noticed the increased costs of diapers and toilet paper, as well.
The widespread commodity price increase allowed for levels of inflation not seen in decades. Now the concern is whether the administration can formulate a solution before these sky-high prices drive up broader measures of sustained inflation.
The recent increase of 3.8 percent in the core inflation rate, the sharpest reported increase since May of 1992, coupled with May’s consumer price surge, should have sent a signal to the Biden administration that they must reverse course, but instead, they plan to forge ahead spending trillions more.
Republicans understand inflation is, in effect, a tax on every American. Hard-earned dollars are worth less as Biden’s policies force them to pay more. As we navigate through pandemic recovery efforts, it is critical that our government gets inflation levels under control immediately.
House Republicans have a plan to get our economy back on track. President Biden has a responsibility to act on his campaign promises of bipartisanship and reach across the aisle to protect our economy.
America’s future depends on it.