After this week, Joe Biden will have a hard time telling the American people that Putin’s Price Hike is a real thing.
Federal Reserve Chairman Jerome Powell blew that myth right out of the water this week when he appeared on the Hill.
Thanks for some great questioning by Senator Bill Hagerty (R-TN), Powell just got Joe Biden slapped with a misinformation label.
Just Not the Truth
The moment Russia invaded Ukraine, Biden and his team tried to sell inflation as all Putin’s fault.
This week, Senator Hagerty put that theory to test when Powell was testifying before the Senate Banking Committee.
Hagerty stated, “I realize there are a number of factors that play a role in those historic inflation that we’re experiencing — supply chain disruptions, regulations that constrain supply, we’ve got rising inflation expectations and excessive fiscal spending, but the problem hasn’t sprung out of nowhere.
“In January of 2021, inflation was at 1.4%. By December of 2021, it had risen to 7% — a fivefold increase.
“Now, since the war in Ukraine began in late February, the rate of inflation has risen incrementally another 1.6% to a current level of 8.6%. So again, from 7% to 8.6%.”
Then asked, “Given how inflation has escalated over the past 18 months, would you say that the war in Ukraine is the primary driver of inflation in America?”
Powell responded, “No, inflation was high before — certainly before the war in Ukraine broke out,”
The thing is, nobody has ever tried to challenge the Russian-Ukraine war contributed to inflation, but it is not solely responsible for it and when you break out all the numbers, it is probably in the 10 to 15 percent, maximum, in terms of its contribution to our current inflation.
The 1.6 percent that inflation has risen since the war started does not fall completely on that conflict, the percentage may be even less than that.
So, the next time Biden or Karine Jean-Pierre are being interviewed and they try to call this Putin’s Price Hike, they need to be immediately called out with those numbers Hagerty used and that direct quote from Powell.
Source: New York Post