Inflation and rising prices stem from Biden’s policies

After reading Joe LaLumia’s letter (“Challenging Beliefs About Socialism Brings Silence,” Feb. 26), I thought some of his statements needed to be addressed.

He argues that “…rising fuel prices, supply chain problems, and inflation – are the result of years of Republican free-market deregulation. Fuel prices are the result of prices set by OPEC and the market, out of the president’s control….”

In reality, OPEC, which has a significant impact on oil prices, is an oligopoly organized expressly to limit supply and keep prices above the level of free market prices; an oligopoly is the antithesis of a free market. While no president can have a significant direct impact on energy prices, President Joe Biden’s energy policies, such as closing the Keystone XL pipeline and limiting energy exploration on federal lands, have certainly contributed to higher oil and gas prices by limiting supply.

When it comes to Biden’s policies that don’t help inflation, while much of the supply chain problems are beyond his control, some economists say the multi-trillion-dollar stimulus from the federal government last year, including extra payments for unemployment insurance and child tax credits, pumped too much money into the economy too quickly and exacerbated inflation.

Biden’s Build Back Better proposal failed largely because too many lawmakers felt it would again add too much money to drive out too few goods, further accelerating inflation. I agree with LaLumia that discussions should be based on facts, not inaccuracies and inaccuracies.

Rick Supervisor

Ballston Spa

About Jimmie T.

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