August was another bad month for the Biden administration, as inflation was up yet again. Something that has happened every single month since Biden took office in January.
Lone Star College economist Hank Lewis says it's due to a bad combination of supply chain issues, labor shortages, the emergence of the 'delta variant', and just flat out bad policies by the Biden administration.
"The question is how long? How far? How long the prices will keep rising?" Lewis said, "This may last another year, and I do think this is going to be a problem until we get some other stuff under control."
The biggest thing that needs be put under control? The reckless spending by the Democrats, who are trying to ram through their $3.5 trillion dollar infrastructure bill. Lewis says that is not a good decision. "Our national debt is at the highest it's ever been, and this cannot be continued long term because the risk is the devaluation of the dollar, the creation of more inflation, and also the expectation of the government to fix things that is not capable of fixing."
In the meantime, the White House has to admit that inflation is worse than they thought. And now experts are warning that the inflation rate will be up 5.2% over the next year, which is astonishing. "We haven't seen rates of inflation in the 5% range since the early 1980's" Lewis told KTRH, "This Federal Reserve under Jerome Powell has been very different, and that makes it interesting times."
Interesting times, and tough times for us, as everything has gone up. "It's not rocket surgery here as the saying goes" Lewis said, "Until then we are going to have to cope with higher prices."