Weekly News Highlights: 7/26/2021 – 8/1/2021
Inflation Is New Battle Line as Republicans and Biden Spar Over Spending
Inflation — an economic phenomenon that refers to when prices rise and the purchasing power of money decreases — is currently a key issue being pushed against the Biden administration by Republicans. Since the U.S. opened from the COVID-19 pandemic, Republicans have been using the increasing costs of various goods, such as gasoline, cars, and more, to suggest that the Biden administration has been responsible for prolonging the economic distress that originated from the start of the pandemic, accusing the administration of "Bidenflation." These accusations are stemming from the various stimulus proposals that have been passed or are being currently drafted, including the $1.9 trillion stimulus bill Biden signed in March and a $3.5 trillion economic bill currently being outlined by Democrats in the Senate.
Both political parties are at sharp dissent in their position of whether Biden's policies are the cause of the economic inflation. Republicans assert that Biden's spending is only bound to increase U.S. inflation, while Democrats believe that Biden's spending is covered and does not affect U.S. inflation. Nevertheless, recent polls and statistics show that the public is concerned about the economic well-being of the U.S., with nine out of 10 respondents to a national poll — offered by the research firm Momentive — reporting that they noticed prices rising recently and seven out of 10 saying that they believe prices will continue to go up in the future.