[Correspondent Column] How Biden Deals with Responsibility for Inflation

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[Asia Economy New York=Special Correspondent Joselgina] A recent cartoon published by the American current affairs magazine The Week depicts an elderly man wearing a red sweater and holding a cane visiting a cafe, saying, "'Bidenflation' (Biden + inflation) has eaten up my retirement funds," and "I need a job application." This is a clear attempt to blame President Joe Biden for inflation ahead of the U.S. midterm elections this November.

Recently, inflation in the United States has literally soared to unprecedented heights. In March, the U.S. Consumer Price Index (CPI) rose by a staggering 8.5% compared to a year earlier, marking the highest level in about 41 years. By category, energy prices jumped 32%, and food prices rose more than 8%. Moreover, the perceived inflation far exceeds the official figures. A Korean resident in New York said, "Everything has gone up," adding, "It feels like at least a 10-20% increase." Another resident in New Jersey said, "Every time I go out, gasoline prices are higher," describing the feeling as "money melting away."

President Biden's response to the rising inflation blame can be broadly summarized as ‘blaming others’ and ‘self-praise.’

First is the ‘Putin blame.’ The claim that inflation is soaring due to Russian President Vladimir Putin’s wrong decision to invade Ukraine has been repeatedly made in the president’s speeches to the nation. Last week, he said, "We are doing everything we can to solve the problem of ‘Putin’s price hikes.’" This message was also included in the White House’s commentary related to Russia’s genocide (mass killing).

The second is ‘self-praise.’ President Biden and his administration have repeatedly emphasized that their so-called Biden-style economic policies have led to real wage increases and improvements in employment indicators such as unemployment rates after the pandemic. They have praised their performance multiple times and conveyed an optimistic message that the inflation everyone worries about will soon ease.

The reaction of Americans holding the ballots is cold. The fact that the president’s approval rating is falling as inflation rises supports this. According to a Quinnipiac University poll conducted this month, President Biden’s approval rating dropped to a historic low of 33%. About half of the respondents identified inflation (48%) as the top issue facing the U.S., and only 35% said they supported Biden’s economic policies.

It is true that inflation fears have grown as international prices of crude oil, wheat, and other commodities surged following Russia’s invasion of Ukraine. However, it seems only the government is pretending not to know that U.S. inflation had already reached its highest increase in 40 years before the invasion began in late February.

The president’s repeated boasting about wage increases is also turning into a major misstep. A friend in the U.S. whom I recently met after a long time said, "There is good news," explaining that his salary increased by nearly 5% in this year’s wage negotiations. But he immediately added, "There is also bad news." He expects his rent to increase by a similar amount when renewing his apartment lease in Brooklyn, New York. He also said, "Inflation in the U.S. seems crazy." What good is a wage increase when prices have risen even more? Economists express concern about the vicious cycle where inflation leads to wage increases, which in turn lead to further inflation and higher unemployment.

It is clear that President Biden’s political moves to avoid responsibility for inflation are backfiring. Repeating blame-shifting and self-praise only makes things worse. This is especially true for a president leading a nation.

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