President Joe Biden has called “bizarre” claims that his spending policies have been a cause of soaring inflation.
When asked how the substantial spending of his U.S. bailout could have exacerbated the economy and pushed inflation into high gear, Biden dismissed the accusation.
“You might wonder if it had a marginal, minor impact on inflation. I don’t think it has,” Biden told the interviewer. “And most economists don’t think so. But the idea that it caused inflation is bizarre.”
The president made the remarks in an Associated Press interview published Friday.
Biden has been adamant in his defense of his spending practices, saying critics of his policies and federal spending should examine how other nations have handled recent inflation problems.
“We’re in a stronger position than any nation in the world to overcome this inflation. It’s bad,” Biden said before moving on to questions for his critics. “Isn’t that rather interesting? If it’s my fault, why is it the case in every other major industrial country in the world that inflation is higher? You wonder that?”
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Biden added: “I’m not a sage. Someone should be asking this question. Why? Why? If it’s a consequence of our spending, we’ve cut the deficit. We’ve increased employment, increased wages. “
Just last week, Biden held a rare Oval Office meeting with Federal Reserve Chairman Jerome Powell. The president also wrote an op-ed in the Wall Street Journal about his plan to handle rising prices. Biden has called fighting inflation his “top priority” domestically.
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Powell on Friday reiterated the U.S. central bank’s determination to crush the highest inflation in 40 years, saying it is imperative that the global financial system stabilizes for consumer prices to stabilize.
“My colleagues and I are very focused on getting inflation back to our 2% target,” Powell said in his keynote address to a Fed conference on the role of the US dollar. “The Federal Reserve’s strong commitment to our price stability mandate contributes to widespread confidence in the dollar as a store of value.”
His comments came just two days after the The Fed voted to increase its benchmark interest rate by 75 basis points for the first time since 1994, underscoring how serious policymakers are in tackling the inflation crisis after a series of alarming economic reports.
Fox Business’ Megan Henney contributed to this report.