I have talking heads on TV, the GOP and cons on this board complain about inflation, but can you tell me what the GOP will do about it when they win in November. I am sure they will pass every cultural policy they can to appease their base, but the real problem is inflation. Everything else in the economy is humming along, but inflation is hurting us. The only thing the GOP seems to be able to do is pass tax cuts for the wealthy and leave the handling of inflation to the Feds. The Feds could raise their rates to 10%-15% and it would not check inflation. I have read that 60% of inflation is due to profit taking by the corporations and looking at the huge profits, I an believe that. The problem is, the GOP will have nothing to do with pressuring the corporations to reduce prices. They are the major source of the GOP's campaign funds and they are not going to kill the goose that is laying their golden eggs. They may complain about Biden's spending, but the deficit has been cut in half and had no effect on inflation. The only other arrow they have is tax cuts, and how is tax cuts for the wealthy going to stop inflation. So what is the GOP's plan?
The best the GOP can do if they win in November is to put the skids on the government spending that Congress has enacted. That is a big part of the reason we have this inflation. This won't end the inflation, but it will help inflation not get worse.
Since the bulk of the causes of inflation lie with the actions and policies of the Biden pukes, only getting rid of those pukes will enable another administration to reverse what brought on the inflation that started from day one of the Biden administration. This will only happen if Trump is elected in 2024. If, for some reason, he doesn't run or if, for some reason he runs but loses, there is nothing a GOP Congress can do to reduce inflation.
The Federal Reserve? Yeah, the only thing they can do is raise the prime rate. But if they raise to the level you suggest, that will send our economy tumbling into a recession. If they make smaller rate hikes, their efforts will be useless because inflation is way too high right now.
So...the best thing anyone in the government can do right now is nothing
. Just stop digging the hole. If left alone, the consumers will, acting in their own self interest, reduce inflation by reducing personal spending...reducing demand.
This is already happening. The consumer just doesn't have the spending power they had just a couple years ago and they are now choosing what to spend their reduced buying power on. Spending on unnecessary durable goods is dropping because people are choosing to spend on more important things like food and gas.
This reduced consumer spending is not without it's own dangers for the economy, however. Companies that produce those durable goods will feel the bite. They won't produce as much as they have, which means they'll be laying off workers. That reduction in production could also bring about a recession.
Any way you look at it, the US is in a very ****ed up situation...and it was directly caused by the Dems in Congress and the pukes in the executive branch.
btw, you claim the deficit has been "cut in half". Can you provide some data to support that claim? With all the new government spending in the last year or so, I find that hard to believe.