Casting corporate profiteering as a key driver of inflation would be a political winner for Democrats—and it has the virtue of being true.
by Robert Reich, In These Times
Despite the Federal Reserve’s most aggressive campaign in generations to slow the economy and bring price increases under control, prices continued to climb at a brutally rapid pace in September — with a key inflation index increasing at the fastest rate in 40 years.
Even though the Fed has quickly raised interest rates from near zero to a range of 3 to 3.25 percent, overall inflation — 8.2 percent over the year through September — continues to roar. Worse, it’s headed in the wrong direction. After stripping out volatile fuel and food, inflation increased. No wonder investors expect the Fed to announce another rate increase at the end of its next meeting, on Nov. 2.
All this could have severe political consequences for Democrats in the midterm elections three weeks from today. Republicans are focusing on inflation because voters see it as their biggest immediate problem, and it’s easy to pin blame on the Democrats because they’re in charge. Biden and the Democrats have provided no retort except to talk about their efforts to reduce drug prices.
Recent Posts
VIDEO: A Blueprint For Countering American Fascism
July 26, 2024
Take Action Now Our First Annual Henry A. Wallace Symposium offered lessons from real-life heartland organizers on how to fight for a multiracial…
Gavin Newsom Orders Removal Of Homeless Encampments
July 26, 2024
Take Action Now “The only way to end homeless encampments in California is to end the need for homeless encampments,” an expert said.…
The Crackdown On Antisemitism Doesn’t Have Much To Do With Antisemitism
July 26, 2024
Take Action Now Republican lawmakers increasingly conflate anti-Zionism with antisemitism in an effort limit pro-Palestine speech and criticism of…
Netanyahu’s Unhinged And Bellicose Congressional Address Draws Scorn
July 25, 2024
Take Action Now ‘Our enemies are your enemies,’ the prime minister insisted, setting up confrontation with Iran. By Blaise Malley,…