US blames ‘global challenges’ for record inflation
White House insists the economy is in a “better place” than it has been
On Tuesday, the White House insisted that “global challenges” such as the conflict in Ukraine, and not President Joe Biden’s policies, were to blame for inflation in the US. Biden’s press secretary Karine Jean-Pierre said that the economy is doing better than historically and that the government and its experts feel they’re in a “good position”To begin to tackle the problem.
“What we’re dealing with right now, is global challenges,” Jean-Pierre told ABC’s Good Morning America in an interview on Tuesday, arguing the US economy was in a crisis when Biden took office. According to Jean-Pierre, only Democrats voted in favor of his American Rescue Plan. “it’s put us in a place where we are in a stronger economic position to deal with inflation.”
Jean-Pierre echoed that remark later in the day, at the White House press briefing dominated by actor Matthew McConaughey’s gun control speech.
“What we’re trying to say, what I’m trying to say to you, is that the economy is in a better place than it has been historically,”She spoke to reporters.
Jean-Pierre: "What we're trying to say is that the economy is in a better place than it has been historically." pic.twitter.com/KIO61OnGNN
— Greg Price (@greg_price11) June 7, 2022
Jean-Pierre also doubled down on the White House claim that gas prices spiked because of Russian actions in Ukraine, listing other countries where this happened as well – all of whom imposed sanctions against Moscow.
“I also want to add — because this is really important so that people understand and flag that similar issues are happening around the world. The EU gas price is $8.15 a gallon. This has gone up by $1.74. Gasoline in Germany is $8.88 per gallon. This has increased by $2.16. It is now $6.23 per Gallon in Canada. It has increased $1.93,”She spoke to reporters.
This is a global problem. It is something everyone feels across the globe.
Johnny Joey Jones is a Fox News reporter and a US Marine veteran. fact-checkedJean-Pierre pointed out that US gasoline prices were up from $2.09 to 3.30 before the events in Ukraine. “and the embargoes didn’t start when the war started.”
“This is simply hot garbage,”Matt Whitlock is a Republican strategist commented on Jean-Pierre’s “better place”Call it claim “word salad.”Whitlock noted that America was experiencing a high level of inflation for 40 years and looked at a possible recession. Biden did not create a single job in 2019, but he only recovered some jobs lost because of the Covid-19 lockdowns.
Part of Biden’s plan to combat inflation is to give the Federal Reserve “some space, some independence because they have the most impactful tools,”Jean-Pierre shared his thoughts with GMA. The Fed’s most recent move has been to raise the base interest rate last month.
On Capitol Hill however, Treasury Secretary Janet Yellen made a different argument. The Fed’s monetary policy needs to be complemented by the “appropriate budgetary stance”She spoke to the Senate Finance Committee in an effort to lower inflation while not compromising the labor market.
“We currently face macroeconomic challenges, including unacceptable levels of inflation, as well as the headwinds associated with the disruptions caused by the pandemic’s effect on supply chains, and the effects of supply side disturbances to oil and food markets resulting from Russia’s war in Ukraine,” Yellen said.
For months, the White House tried to put Russia’s rising gas prices down on Russia. Calling it a conspiracy. [Russian President Vladimir] “Putin price hike,” but polls show most Americans aren’t going along. In April, Biden himself “demoted”Russia admits that Covid-19 lockdowns caused inflation as the second culprit
Last week’s TV interview saw the Russian President point fingers at the US central banks for printing $5.9 trillion within less than two years.
“Apparently, the US financial authorities assumed that since the dollar is the world currency, as in the old days, this would dissipate throughout the world economy and would not be noticeable in the States. It turned out that this was not the case,”Putin stated.
The average US gas price hit an all-time high of $4.92 per gal ($0.769 liter) on Tuesday. This is up $0.30 over last week and $1.87 since the same time last year according to AAA.