2022 Year in Review

BIDEN'S SHORTCOMINGS
SOARING INFLATION
Biden’s USD $2 trillion American Rescue Plan, designed to stimulate
economic growth after the pandemic, saw inflation skyrocket in
2022. The day before Biden announced the Plan, the Labor
Department put annual inflation at a mild 1.7 percent. Today,
annual inflation sits close to a 40 year high at 8.3 percent,
triggering significant jumps in consumer prices which hit working
classes the worst. Other Plans Biden introduced in 2022 such as the
Infrastructure Investment and Jobs Act, The CHIPS Act, and his
student loans forgiveness executive order were all designed to
stimulate economic activity through generous government
handouts.
However, economists argue that such Plans which flood the
economy with cash are counter-productive, positing that the
legislation has the potential to create numerous economic
distortions via subsidies and tax credits. Indeed, whilst the longterm
impacts of Biden’s economic measures are not yet clear, it is
important to note that Bidenonomics cannot be solely blamed for
increases in inflation this year; with outbreaks of coronavirus
variants and Russia’s invasion of Ukraine aggravated tight markets
also contributing to stagflation.
P A G E 9 2
RISING ENERGY PRICES
Furthermore, Biden’s climate policy, which focuses on
moving away from fossil fuels and towards more renewable
energy sources, involved major cuts to US gas and oil
production. Analysts suggest that this has contributed to
major increases in the cost of energy, with electricity and
gas bills for American consumers 15.8% higher compared to
this time last year. Biden’s cuts to oil and natural gas,
sources that meet 68 percent of Americans’ total energy
needs for heat, power, and transportation, coupled with the
impacts of the Russia-Ukraine War, have created an energy
crisis for American consumers and industries alike.