Obama Treasury Official Blames Federal Spending For Inflation Crisis

Political News

https://dailycaller.com/

Former Obama administration economic official Steven Rattner pushed back on President Joe Biden’s explanation of the causes of the inflation crisis in an op-ed Thursday for The New York Times, blaming the federal government’s enthusiastic spending.

Referring to an interview with NBC’s Lester Holt, in which the president attributed record inflation to supply chain dysfunction, Rattner characterized Biden’s comments as “simplistic and misleading.”

You Might Like

“Blaming inflation on supply lines is like complaining about your sweater keeping you too warm after you’ve added several logs to the fireplace,” Rattner, who served as counselor to the U.S. treasury secretary under former President Barack Obama, wrote.

The Consumer Price Index (CPI), one of the most-used metrics for tracking inflation, reached a 40-year high as of January, with the prices of energy and food products particularly impacted. Rattner attributed the cause of inflation to a spike in consumer spending due, in large part, to large injections of federal cash into the economy.

“All that consumption has resulted from vast amounts of government rescue aid (including three rounds of stimulus checks) and substantial underspending by consumers during the lockdown phase of the Covid crisis,” Rattner wrote.

Rattner urged the Biden administration to change tack in how it approaches the ongoing inflation crisis.

“The Biden administration needs to shift its approach,” Rattner wrote. “In particular, with the economy steaming along, it should make deficit reduction as important as its other initiatives.”

Content created by The Daily Caller News Foundation is available without charge to any eligible news publisher that can provide a large audience. For licensing opportunities of our original content, please contact [email protected]

Support Conservative Daily News with a small donation via Paypal or credit card that will go towards supporting the news and commentary you’ve come to appreciate.

Articles You May Like

American Teen Allegedly Caught At The Border With Enough Fentanyl To Kill Millions
‘Total devastation’: Home explodes in Evansville, Indiana, killing 3 and mangling neighborhood
The Kruiser Kabana Episode 191: Trump Is Obi-Wan and Also Plus Shrimp Tacos
‘Road to recovery has begun’: Salman Rushdie’s condition heading ‘in right direction’
BIG TECH COLLUSION? Facebook Helped Liberal Axios Sell for $525M: Report

Leave a Reply

Your email address will not be published.