Inflation Won’t Improve Under Biden According to Economic Researchers

TALLAHASSEE, FLORIDA — Economic experts recently predicted that runaway inflation will not improve under President Joe Biden’s administration. 

The Federal Reserve has had a goal of returning the Consumer Price Index – a measuring tool for inflation – back down to around 2 percent. Most recently, the CPI was at 3.7 percent for the month of September. 

Increased spending initiatives under the Biden administration – like the Inflation Reduction Act which did the opposite of its stated purpose – have added to inflationary issues, according to the experts.

“It is possible that inflation returns to 2%, but poor fiscal policy can make it much harder and more unlikely,” said Jai Kedia, a research fellow in the Center for Monetary and Financial Alternatives at the Cato Institute, to the Daily Caller. 

Kedia continued by saying that the current way the federal government has been spending their money is actively working against inflation reduction. 

She said that when “the fiscal authority keeps spending without attempting to balance their budget, it is much harder for the monetary authority to meet its targets.” 

Similarly, Michael Faulkender, chief economist and senior advisor for the Center for American Prosperity, said that the Biden administration is “pouring gasoline on the inflation fire by running $2 trillion deficits while imposing costly regulations that take supply offline.” 

ATTEMPTING TO RELIEVE FLORIDIANS

Florida officials have worked to offset the costs Floridians are facing due to runaway inflation. 

Earlier this year, Florida Governor Ron DeSantis proposed a $2 billion tax relief proposal as part of his Framework for Freedom Budget. 

“Inflation continues to burden Florida families and we must fight back against rising costs by cutting the sales tax on necessary items,” said DeSantis in February 2023.

The relief saw a one year sales tax exemption on children’s items like books and toys, permanent sales tax exemptions on baby and toddler necessities, and an expansion of the annual back-to-school tax holiday. 

Florida House Speaker-Designate Daniel Perez has also said that some of his legislative priorities – after speaking with constituents – is mitigating the rising costs of goods as a result of inflation. 

“We need to focus on allowing Floridians to keep more money in their pocket by not collecting as much from them,” Perez told The Florida Standard earlier this year.