President Biden's energy policies have taken a heavy toll on consumers, leading to soaring energy prices and a skyrocketing cost of living. Economist Stephen Moore analyzes the impact of these policies on consumers and national security.
President Biden's war on oil and gas has inflicted a crushing blow on American consumers, exacerbating an already challenging economic environment. According to a recent poll by the Wall Street Journal, a majority of economists believe that Biden would do a better job holding down inflation, debt, and interest rates than his predecessor, Donald Trump. However, the evidence from their actual records tells a vastly different story, highlighting Biden's disastrous performance on these crucial economic indicators.
On the critical issue of inflation, Biden's presidency has witnessed a staggering 20% increase, far exceeding the 8% inflation rate during Trump's tenure. This stark contrast is particularly glaring considering Biden inherited a low inflation rate of 1.4% upon taking office. Within 18 months, under his administration, it soared to 9.1%, inflicting a crippling burden on American households.
Biden's War on Oil and Gas: A Devastating Blow to Consumers
Soaring interest rates have compounded the financial challenges facing consumers. The mortgage interest rate has more than doubled under Biden, climbing from 2.9% to around 7%. This has significantly increased homeownership and rental costs, with the mortgage payment on a median value home now twice as high as during Trump's presidency. Moreover, the interest rate on federal borrowing has surged to 4.3% from 0.9% during Trump's final year in office, further straining the U.S. economy.
Beyond the immediate impact on consumers, Biden's energy policies have also undermined national security. His relentless crusade against fossil fuels has hampered domestic energy production, leading to increased reliance on foreign sources of oil and gas. This has diminished America's energy independence, making the country more vulnerable to geopolitical disruptions and price shocks.
Biden's War on Oil and Gas: A Devastating Blow to Consumers
In contrast to Biden's failed policies, Trump implemented measures that were explicitly designed to stimulate economic growth and reduce inflation. He slashed tax rates, deregulated the economy, and pursued an energy-first agenda. These policies fostered a more competitive business environment, attracted capital to the United States, and boosted the production of goods and services.
Trump's tax cuts, deregulation efforts, and support for American energy are all disinflationary policies that would help tame inflation and reduce interest rates if implemented today. Biden's proposals, on the other hand, run counter to these proven strategies. His plans to raise business taxes, increase regulations, and invest heavily in low-return green energy programs will only exacerbate the economic crisis confronting the nation.
Biden's War on Oil and Gas: A Devastating Blow to Consumers
The notion that Biden's policies will magically reduce inflation and interest rates is akin to economic voodoo. History has repeatedly shown that high tax rates, excessive regulations, and misguided energy policies lead to the opposite result. The Carter administration's embrace of these same policies in the late 1970s sent inflation soaring to double digits. Conversely, Reagan's tax cuts, deregulation, and pro-energy stance in the 1980s successfully tamed inflation and fueled economic growth.
The economists who argue that Biden will be better on inflation than Trump are the same ones who blindly endorsed his trillion-dollar spending spree, promising it would not cause inflation. Their abysmal track record calls into question their credibility and highlights the disconnect between economic theory and real-world realities.
Biden's War on Oil and Gas: A Devastating Blow to Consumers
In conclusion, Biden's war on oil and gas has dealt a crushing blow to consumers, exacerbating inflation, raising interest rates, and undermining national security. His proposed policies offer no respite from these challenges and will only further burden the American people. The nation desperately needs a change in course, one that embraces policies that promote economic growth, energy independence, and fiscal responsibility.
