Breitbart Business Digest: Bidenomics Is Creating a Debt-Inflation Spiral

  • 📰 BreitbartNews
  • ⏱ Reading Time:
  • 48 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 22%
  • Publisher: 51%

대한민국 뉴스 뉴스

대한민국 최근 뉴스,대한민국 헤드 라인

The Biden administration's deficit spending has become a big part of the inflation problem.

to combat the impact of covid-19, the deficit dropped by the greatest amount ever in 2022, falling from close to $3 trillion to roughly $1 trillion. But rather than continue to fall to its pre-pandemic levels, the deficit then shot upward. Budget experts now project that it will probably rise to about $2 trillion for the fiscal year that ends Sept. 30, according to the Committee for a Responsible Federal Budget, a nonpartisan group that advocates for lower deficits.

Normally, such large spending increases occur either during or shortly after recession…This is intentional as the government tries to stimulate aggregate demand and push down the unemployment rate. This happened in the late 1970s, but this policy only fed double-digit gains in inflation. To place today’s fiscal largesse into context, the current fiscal YTD spending clip is the fastest since 2009 when federal expenditures were up 22%. But the economy was in deep recession then, and the unemployment rate was approaching 10%. The other instances when government spending was like today were around downturns, such as 1981-82, 1990 and 2002.a self-perpetuating inflation-deficit spiral

. That decline was driven by the lousy stock market performance last year, which was driven by the Federal Reserve’s interest rate hikes. So, it is fair to say the spending-fueledInflation Is Set to ReaccelerateFederal Reserve Bank of Cleveland

이 소식을 빠르게 읽을 수 있도록 요약했습니다. 뉴스에 관심이 있으시면 여기에서 전문을 읽으실 수 있습니다. 더 많은 것을 읽으십시오:

 /  🏆 610. in KR
 

귀하의 의견에 감사드립니다. 귀하의 의견은 검토 후 게시됩니다.

대한민국 최근 뉴스, 대한민국 헤드 라인

Similar News:다른 뉴스 소스에서 수집한 이와 유사한 뉴스 기사를 읽을 수도 있습니다.

Breitbart Business Digest: American Consumers Are Fighting the FedThe economic tide keeps rising even though the Fed has declared it is time for an ebb
출처: BreitbartNews - 🏆 610. / 51 더 많은 것을 읽으십시오 »

Breitbart Business Digest: Services Sector Shrugs Off Recession TalkThe idea that economic growth is faltering received another blow on Wednesday when the Institute for Supply Management reported that the services sector expanded for the eighth straight month in August.
출처: BreitbartNews - 🏆 610. / 51 더 많은 것을 읽으십시오 »