Economist Larry Summers, President Clinton's Treasury Secretary, is worried about the inflationary impact of President Biden's spending. Politico reports:
The former Treasury secretary has been warning since February that President Joe Biden’s big-spending agenda was creating the risk of an inflation spike this year, potentially cutting into the economic recovery from the Covid-19 pandemic.
The government said Tuesday the consumer price index rose 5.4 percent in June from the same month last year, the biggest jump since 2008, as costs for everything from used cars and trucks to restaurant meals and hotel stays continued to soar. It marked the second straight month of sharply higher prices. June prices also unexpectedly rose 0.9 percent from May, undercutting the argument that the price increases only look bad in comparison to last year, when the pandemic was raging.
And Biden wants to spend another three trillion on "infrastructure." Watch the purchasing power of your dollars shrink and shrink again.
