Joe Biden has regularly relied on Moody’s as a financial source supporting his infrastructure and massive spending plans that make up his “Build Back Better” package. The famous financial outlet reveals the actual cost of price inflation to ordinary Americans living in Biden’s economy.
Mark Zandi, a chief economist at Moody’s Analytics, recently stated that American households earning a median annual income of about $70,000 are now paying around $2,100 more annually for essential goods during the Biden administration so far. He reported that current inflation leads to more than $175 per month for housing, food, and fuel.
An analyst with Gordon Haskett and Chuck Grom has noted that groceries have seen sharp increases this year. A half-gallon of store brand 2 cents milk is 74% more expensive than one year ago, and a 12-pack of Coca-Cola cans has increased in price by $1.50 since August of last year. Ground beef is up 12%, and bacon has skyrocketed by 28% in 2021.
The government’s Consumer Price Index measurement indicates that energy costs have shot up in 2021 by 25%. Overall, consumer prices are expected to rise as much as 20% over the upcoming holiday season.
The Wall Street Journal reported last week that crude oil had gone up 64% this year while natural gas has doubled in price in just the previous six months. Gasoline is up a dollar over last year, hitting a national average of over $3 per gallon.
Through it all, the Federal Reserve has held firm to its claim that price inflation is “transitory.” However, Fed Chair Jerome Powell has begun preparing Americans by saying that he sees inflation continuing into 2022. Powell noted that supply chain problems are getting “a little bit worse,” which could lead to inflation that lasts “longer than we had thought.”
The Biden White House’s attempts to downplay inflation have been unserious throughout the year, with the administration taking heat over its claim that cookouts for the Independence Day holiday cost 16 cents less than last year. The administration’s incompetence in policy and public relations has been of little comfort to average working Americans.