How Bidenomics Generates More Debt and Inflation

How Bidenomics Generates More Debt and Inflation
President Joe Biden unveils his economic plan during an event in the lobby of an old post office building in Chicago on June 28, 2023. Scott Olson/Getty Images
Daniel Lacalle
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Commentary

Estimates of U.S. growth have improved, but remain massively below the Federal Reserve’s projections. After the largest monetary and fiscal stimulus in recent years, growth remains well below trend and debt is significantly higher. It is interesting to hear Treasury Secretary Janet Yellen say that “trickle-down economics did not work,” when in reality this is the failed trickle down: massive government deficit spending which leads to negative real wage growth and weaker GDP.

Daniel Lacalle
Daniel Lacalle
Author
Daniel Lacalle, Ph.D., is chief economist at hedge fund Tressis and author of the bestselling books “Freedom or Equality” (2020), “Escape from the Central Bank Trap” (2017), “The Energy World Is Flat”​ (2015), and “Life in the Financial Markets.”
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