Is Inflation Biden’s or Trump’s Fault? The Answer Isn’t So Simple, Economists Say

During the presidential debate, Trump blamed Biden for pandemic-era inflation, while Biden argued it was due to economic struggles during Trump’s term.
Economists say neither Biden nor Trump is primarily to blame; global events like the Covid-19 pandemic, Russia’s war in Ukraine, and Federal Reserve policy errors played major roles.

Global events disrupted supply and demand, contributing to inflation.
The Federal Reserve was slow to act, and pandemic relief policies from both administrations likely played a role.
Economists note that presidents often receive more credit or blame for the economy than deserved.

The pandemic disrupted global supply chains and labor markets, leading to mismatched supply and demand.
Consumers shifted their spending habits, increasing demand for goods.
Russia’s war in Ukraine further increased prices, especially for commodities.

Both Biden and Trump approved significant pandemic-era government spending, boosting demand and contributing to inflation.
Biden’s American Rescue Plan was larger than needed, increasing prices despite positive outcomes like a strong job market.
Trump authorized stimulus packages worth about $3 trillion.
Economists agree that while spending contributed to inflation, its extent was only clear in hindsight.

The Federal Reserve was slow to raise interest rates, contributing to inflation.
Some suggest "greedflation"—companies raising prices more than necessary—may have played a minor role, but it was not a primary cause.

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