House Majority Whip Jim Clyburn (D., SC) said Thursday that congressional Democrats knew when they approved President Joe Biden’s multi-trillion-dollar legislative plans that the laws would lead to an increase in inflation.
“Let me be very clear. We are all concerned about this rising cost, and we all knew it would be when we put this stimulus package in place,” Clyburn said on MSNBC after the host José Díaz-Balart asked about Americans’ struggles with soaring food and energy prices. “Every time you put more money into the economy, prices tend to go up.”
🚨WATCH: Democratic House Whip Jim Clyburn says Democrats knew their wasteful spending would cause inflation – but they did it anyway. pic.twitter.com/ojiMf41MTj
— Senate Republican Communications Center (@SRCC) October 20, 2022
But Clyburn and the rest of the Democratic leadership in Congress have defended this stimulus package and other laws, insisting the bills would not damage the economy, even though experts say the bills contributed to the country’s record inflation.
Clyburn voted in favor of Biden’s $1.9 trillion US bailout and $738 billion Inflation Cut Act. Economists at the Federal Reserve Bank of San Francisco said the US bailout has contributed significantly to inflation, and Moody’s Analytics chief economist Mark Zandi said the Inflation Reduction Act would have no significant effect on reducing inflation.
Just four months after signing the US bailout, Biden insisted that “no serious economist” is “suggesting that there is runaway inflation on the way.”
Today, polls show inflation is one of the biggest issues for voters heading into the midterm elections, and many food prices and energy expenditures are up more than 10% from compared to a year ago.