Council of Economic Advisers chair Cecilia Rouse believes that the more than $5 trillion in spending by Congress in the last year and a half and the president’s early efforts to destroy the American energy industry had nothing to do with the sky-high inflation we’re experiencing today.
Rouse was asked by CNN’s Brianna Keilar whether those who warned the president about the massive spending leading to inflation were right for being concerned.
“I’m not sure what the right is. What we have here is an economy that is recovering from a pandemic. The downturn was caused by the pandemic. We had to basically power down our economy until we had the therapeutics and vaccinations and shots in the arms,” Rouse answered.
In fact, much of that spending had absolutely nothing to do with digging out from the pandemic. The goal was to “transform” America, address climate change, and pay back loyal Democratic constituencies by pouring hundreds of billions of dollars into “neglected” communities.
Keilar pressed further, asking, “They warned that the spending levels, which, of course, I understand the White House and you consider very necessary for the situation that the economy and that the pandemic was in, but that it would cause inflation of maybe a higher level than certain people, including at the White House, were expecting. Were they right?”
Rouse doubled down and insisted that inflation was the result of Biden’s “effective strategy” against the coronavirus pandemic.
Former Treasury Secretary Larry Summers was warning about the cost of the massive spending by Joe Biden and the Democrats more than a year ago. But Summers and the other experts who were sounding the alarm about inflation were dismissed by Biden’s advisors.
Now, Biden is looking to blame everyone but himself and the Democrats for high prices. It’s truly pathetic. He blamed oil companies for the spike in prices after he shut down two pipelines and spoke of getting rid of coal as an energy source. He blamed retail companies for high clothing costs.
Now he’s blaming Russia for all his troubles. Just wait until the Fed begins to put the screws to the economy by raising interest rates. Biden will be blaming them before long.
She also called on Congress to do its own part in attempting to alleviate high prices.
“This is why the president understands that the Federal Reserve needs to do its job, and he encourages Congress to confirm all of his nominees so they have a full slate and can address their dual mandate of price stability and full employment,” Rouse said. “We understand that is the economic challenge in front of us. That is what he’s focused on every day.”
All the Federal Reserve governors in the world are not going to turn back the clock and pull Biden out of the tremendous hole he’s dug himself on inflation.