According to data compiled by the Heritage Foundation, thanks to Joe Biden‘s large spending programs, and the Democrats in Congress helping him do it, average American workers have lost over $4,000 in annual income since Biden became president thanks to the skyrocketing inflation and higher interest rates that have annihilated the income gains all Americans saw under the Trump administration.
Financial experts at Heritage analyzed the Federal Reserve‘s interest rates and consumer prices data and revealed in a report that most Americans have lost income, an amount comparable to $4,200 of income per capita, since January 20, 2021.
Many Democrat voters, when asked why they voted for Joe Biden, are saying that they couldn’t vote for Donald Trump, and they thought alternatives like Bernie Sanders and Elizabeth Warren were too radical leftist, so they believed what the Biden campaign told them, that Joe would be a uniter and would govern as a moderate and that had they known then that Biden was going to govern equal to or worse than radical progressives like Sanders and Warren, they just would not have voted at all.
Prices of consumer goods have gone up nearly 13% since January 2021, a lot faster than wages have risen. The Biden administration likes to tout that there are jobs being created and that wages are rising, and that is true, but not because of Biden’s policies. It is despite Joe Biden’s reckless economic policies and because the country is coming out of the COVID pandemic, where Democrats locked everyone down for over a year.
Thanks to Democrat economic policies, the cost of things is rising faster than people’s wages, which translates into people are able to buy fewer things. Annual purchasing power has gone down $3,000 just due to the consumer price increases alone. Thanks, Lunchbox Joe!
Heritage says that as the Federal Reserve tightens monetary policy, along with increased borrowing costs on mortgages, car loans, and credit cards, that are all caused by higher interest rates, it is reducing the average American’s purchasing power by an additional $1,200 a year.
VISIT OUR YOUTUBE CHANNEL“Simply put, working Americans are $4,200 poorer today than when Biden took office,” EJ Antoni, who is an economics research fellow at Heritage’s Center for Data Analysis, said in a statement to the press. “This financial catastrophe for American families is the direct result of a president and Congress addicted to spending our money, combined with a Federal Reserve compliantly enabling this addiction by printing more dollars.”
Average households have lost about $7,200, which is calculated by doubling the inflation number of $3,000 and adding the $1,200 in losses from interest rates, Antoni said. That inflation number was doubled because average households have two working adults.
This $4,200 drop wipes out the average American worker’s real annual earnings increase of $4,000 that was realized during the Trump administration, according to Heritage. Remember that in November.
“Washington recklessly spent trillions of dollars it did not have and paid for it with newly printed money, causing rampant inflation that has destroyed people’s purchasing power and jeopardized Americans’ financial futures,” Antoni said.
Inflation can only be created by the government. When the government adds new money to the money supply without manufactured goods to add to markets to purchase, that new money is chasing the same amount of products. In a supply and demand world, that leads to inflation. Democrats probably understand that, but they felt the short-term gains of political popularity with potential voters by giving them credit for having more government handouts of cash to buy stuff outweighs screwing over average American households in the long-term. They loudly bragged about getting money to people who needed it while quietly screwed over everyone in the middle and working-class. The Demcorats are playing politics with the American people’s lives and it’s disgusting.
Many Americans are taking on additional debt to cover their cost of living just as rates on all types of consumer debt are going up. Mortgage and interest rates have doubled since Biden assumed office and that translates into rising monthly payments for American families.
“We are in a vicious spiral, but it’s one of Joe Biden, the Democrat-controlled Congress, and the Fed’s own making,” Antoni said.
Let me ask Democrats, did you vote for this? Will this catastrophe change your mind for the coming midterms in November? If not, then you’re an ideological fool because things can always get worse for you when Democrats are in power.
The report by Heritage came only days after the Fed raised the benchmark interest rate by 75 basis points for the 3rd straight month in a row while it tries to lower the soaring inflation rate.
The administration lied to us for a year over the doom and gloom that was coming. They first told us there was no inflation, that it was a conspiracy theory or misinformation. Then, when they could no longer lie about it, they told us that the inflation was just transitory because of economic policy shifts insinuating that things would go back to normal. Then the blame game happened after Vladimir Putin invaded Ukraine. The administration started referring to inflation as the “Putin price hike,” and the clowns who kept repeating that lie didn’t take into consideration that, unlike them who have people to do it for them, Americans go to the grocery store every week and they feel the price increases all the time. You can’t lie to people about the cost of goods going up when the hurt is palpable.
The Federal Reserves interest rate hike puts the benchmark federal funds rate of 3% to 3.25%, which turns out to be the highest rate since before the 2008 financial crisis, which despite the entire Left trying to blame George W Bush was actually caused by a 30+ year Housing market scam run by the Democratic Party that finally crashed the system.
“We have got to get inflation behind us,” Federal Reserve Chairman Jerome Powell said during a press conference in DC. “I wish there were a painless way to do that. There isn’t.”
So, the Democrats screwed us over and now they’re telling us that there is no easy way out of it. Just shut up and enjoy the suck, peasants. That’s their message.
Why is it that Democrats always make things worse for Americans’ lives and then they tell us that we are the ones who have to suffer in order to make things better, as if things got so bad because of us? You’re just consuming too much. We did nothing wrong, other than those who voted for the Nimrod-in-Chief.
