Why Biden Can’t Stop Inflation

While it is true that inflation can be stopped, many Americans simply no longer have confidence in President Biden being able to stop it.

Biden was recently jolted after learning that the consumer price index rose 7.5 percent yearly by the end of January making it the fastest it has grown since 1982.

According to the Hill, here are the top reason preventing President Biden from stopping inflation:

Supply chain disruptions caused by the pandemic

Manufacturers, suppliers and retailers were unable to meet the demands of the rapid recovery from the coronavirus pandemic. This resulted in a massive inflow of good and materials into U.S. ports however massively poor distribution among other things caused serious issues we still face at this time.

The labor shortage

Thanks to the pandemic, businesses are currently having a very difficult time hiring and retaining workers. At the end of 2021 alone, American businesses had more than 10 million open positions which went unfilled.

Cost of rent is rising

Since January 2021 the average cost of rent rose by 4.4 percent. The rise in costs associated with rent and shelter in general is likely because of President Biden’s decision to stimulate the economy via his American Rescue Plan which pumped $1.9 trillion into the U.S. economy. 

Rising energy costs

In 2021 oil prices rose to an eye-popping number. The rapid recovery from the COVID-19 recession pushed a surge of consumer demand for goods and travel this resulted in a sharp demand for fuel. Gas prices increased 40 percent between January 2021 and January 2022.