Inflation bill with Sinema and Manchin's backing in Senate is horribly misnamed
Inflation bill has Sinema and Manchin's backing in Senate. But the Inflation Reduction Act Biden and Democrats are pushing will do no such thing.
It seems that someone told Congress that deficits cause inflation, but forgot to mention why (or Congress wasn’t listening to the explanation). How else can you explain the Inflation Reduction Act of 2022 with a straight face?
The massive spending package that Senate Democrats are set to vote on Saturday, which allocates funding for health care, fighting climate change and controlling prescription drug costs in exchange for raising some taxes, focuses largely on deficit reduction that will have no effect on inflation.
The “inflation reduction” label is being used to justify a hodgepodge of special interest spending that has absolutely nothing to do with inflation.
It’s excessive money creation — the printing of more bills at the direction of the Federal Reserve, reducing the spending value of those already in circulation — and not the deficit that causes inflation. Controlling inflation demands controlling the supply of money.
Yet, Sen. Joe Manchin, D-W.V., the driving force behind the Inflation Reduction Act, claims he torpedoed an earlier spending package (Build Back Better) with some of the same components over fears it would contribute to skyrocketing inflation — and now claims the bill on the table will help rein it in.