The latest federal data shows that inflation levels remain at record highs, but the White House has a simple response for concerned Americans:
Don’t worry about it.
Elevated inflation levels have worried economists, raised questions about government spending, caused investors to question the government and the Federal Reserve’s strategy and caused a political headache for the Biden administration.
Yet, so far, the Biden administration’s response has been to argue the inflation is “transitory.” In other words, it’s just temporary and will be leveled out by next year once the supply chain is restored.
“I will say, on inflation…we take that very seriously,” White House Press Secretary Jen Psaki said at a press briefing this summer. “Our — the expectation from economists, both inside and outside of the government, is that the impacts of our proposed investments are transitory, are temporary, and that the benefits far outweigh the risks. So that — we look at it through, certainly, through that prism.”
However, the federal data this year shows inflation has remained high for months.
“America: our food prices are too high what are you doing about inflation?” tweeted Rep. Dan Crenshaw, R-Texas. “Biden admin: just be vegan and stop complaining you bunch of rubes.”
The Bureau of Labor Statistics released federal data Tuesday showing that increased 0.3% for the month of August. Notably, inflation has increased a whopping 5.3% in the last 12 months, on the heels of a 5.4% increase in July and August and a 5.0% increase in May.
“The index for electricity increased 5.2 percent, its largest 12-month increase since the period ending March 2014,” BLS said. The index for natural gas rose 21.1 percent over the last 12 months, the largest increase since the period ending August 2008. The energy index rose 25.0 percent over the last 12 months, and the food index increased 3.7 percent; both were larger than the increases for the 12-month period ending July.”
Republicans have raised the alarm about these numbers, placing the blame at President Joe Biden’s feet.
“This is your daily reminder that the southern border is open, inflation is soaring, and Joe Biden called his withdrawal from Afghanistan a success,” said Rep. Madison Cawthorn, R-N.C.