Cecilia Rouse, chair of the Council of Economic Advisers believes that the $5 trillion+ in Congress spending over the past year and a quarter and the president’s early attempts to destroy America’s energy industry were nothing to do with the high levels of inflation today.
Brianna Keilar, CNN’s Brianna Rouse, asked Rouse if those who warned him about inflation-causing spending were correct.
“I don’t know what the right is. We have an economy that has recovered from a pandemic. The pandemic caused the downturn. Rouse explained that we had to shut down our economy for the necessary therapeutics, vaccinations, and shots.
Much of the spending was not directed at eradicating the pandemic. It was intended to “transform” America and address climate change. The money would also be used to pay loyal Democratic constituencies.
Keilar continued to press, asking: “They warned that spending levels, which I understand the White House considers very necessary for the economic situation and the pandemic were in, would cause inflation at a higher rate than some people, including the White House. They were right?
Rouse doubled down on his assertion that inflation was a result of Biden’s “effective strategy” against the coronavirus pandemic.
Larry Summers, former Treasury Secretary, warned about the high cost of massive spending by Joe Biden & the Democrats a year ago. Biden’s advisors dismissed Summers and other experts’ warnings about inflation.
Biden now wants to take responsibility for the high prices and blames everyone else but himself and his party. It is truly sad. After shutting down two pipelines, he blamed oil companies and spoke out against coal as an energy source. High clothing prices were a result of high retail prices.
He’s now blaming Russia. Wait until the Fed raises interest rates to tighten the screws on the economy. They will soon be blamed by Biden.
She also called for Congress to take action to reduce high prices.
Rouse stated that “This is why President understands that Federal Reserve must do its job” and encouraged Congress to confirm all his nominees to ensure they have a full slate to address their dual mandates of price stability, full employment, and price stability. We understand the economic challenges we face. He is focusing on that every day.”
All of the Federal Reserve Governors around the globe aren’t going to reverse the clock and help Biden get out of the huge hole he has dug for himself in regard to inflation.