In October, consumer prices spiked at an unprecedented rate, resulting in rising inflation in the country by 6.2 percent in a year, the highest since 1990.
The series of damning reports are posing a threat to the Biden administration and the Democrat Party, particularly as the midterm elections come closer.
Rising inflation depicts Democrats’ poor economic policies
According to the Labor Department, inflation in the United States rose by 0.9 percent in October 2021, compared to September 2021.
Biden and the Federal Reserve have repeatedly claimed this wave of inflation will be short-lived, as it happened due to the devastating impacts of COVID-19.
However, rising renting prices evince inflation is even impacting the sectors that were beyond the devastations of the pandemic.
Prices for U.S. consumers jumped 6.2% in October compared with a year earlier as surging costs for food, gas and housing left Americans grappling with the highest inflation rate since 1990.
— USA TODAY (@USATODAY) November 10, 2021
Ranging from grocery items to gasoline prices and cars, almost all the commodities became more expensive under the nose of the Biden administration. Although the president acknowledged inflation (asserting controlling it remains his top priority), he failed to put in actionable strategies to cope with the crisis.
Similarly, the labor shortage is also contributing to rising inflation, as companies are forced to cut down their manufacturing, disturbing supply and demand. The same is the case with the COVID vaccination mandate; this is triggering labor shortages, hence spiking inflation.
Increased government spending by the Biden administration fueled inflation in the country as well. San Francisco’s Federal Reserve Bank issued a report suggesting Biden’s COVID stimulus package (also known as the American Rescue Plan) fueled inflation in the country.
Once the social spending bill passes through Congress, it is expected to aggravate inflation in the country, pushing Democrats further into hot water.
Inflation will worsen before going away
Even though Democrats are celebrating job growth numbers in October, as per the latest report, little do they know rising inflation is nullifying the net gains by taking money out of people’s pockets.
The worrisome part about all of this is supply chain experts are predicting the worst is yet to come for the country. Despite the fact Biden is claiming the problem is temporary, experts’ opinions paint a bleak picture of the economy.
Shortage of Gas
Refinery capacity issues
Inflation and monetization policies
Insane spending to stimulate demand
The rapid transition to renewables
And many other factors that caused the price of US gasoline to increase 🧐#OOTT #OPEC #USA #Saudi
— Almohannad | المُهنّد الهَشْبُول (@almohannad_ali) November 7, 2021
During the holiday season, when demands of commodities rise amid the dwindling supply, inflation will soar to an unmeasurable extent. President of the Sourcing Industry Group, Dawn Tiura, said the difficulties will continue in 2022 as well.
Likewise, she added the prices of nearly all consumer goods will rise; this will not ease the inflation crisis any time soon in the future.
The latest polls by CNN, Fox News, and CNBC show a sharp decline in Biden’s popularity, majorly due to the failure of handling the economy. More voters than ever now believe the president should not run for another term, which also shows voters’ distrust of Democrats.