Biden Brags, While Economy Signs Gloom and Doom

The price of gas is going back up! 

I went into town for some shopping and the price of gas was $3.38.  On my way out of town the price of gas was $3.39.  So the gas price cut orchestrated by Biden and the Democrats for the midterm elections is already coming to an end.  And yet Biden is still bragging on how he reduced the price of gas.  Also the elite media is bragging on how over all inflation is subsiding, but is it?  Will other prices start going back up with the price of energy?

Well, maybe wage inflation is subsiding and that is the rub.  The economy is becoming less affordable for many households.  Real disposable income fell over $1 trillion in 2022.  This is the second biggest drop ever recorded.  Only the drop in 1932 during the great depression was bigger.

To keep up with inflation, consumers are depleting their savings and burning through the “stimulus” checks they received during 2020 and 2021. Credit card debt continues growing, while savings plummeted $1.6 trillion last year, falling below 2009 levels. 

The average family has lost about $6,000 in annual purchasing power under Biden because prices have risen so much faster than wages. Higher interest rates have increased annual borrowing costs by $1,400, so that the average family effectively has $7,400 less in their annual budget.  

So while the economy is still growing at a rate of around 2.2%, in part due to the government spending of $6.27 Trillion, we are quickly reaching a point where no amount of government spending will be able to buy us out the next recession or perhaps even the unspeakable, depression.