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May 23, 2023

Biden wants to blame debt crisis on this group but can’t avoid his own economic incompetence

Liz Peek Articles


President Biden says Republicans want to tank the debt-ceiling talks because they know a default would bring down the economy and hurt his re-election bid. He is wrong, for three reasons
 
1.     The economy is already barreling towards recession, regardless of the debt-limit debate;
 
2.     Biden’s re-election hopes are dim, independent of the economic outlook;
 
3.     Biden has it backwards. He knows a recession looms, thanks to his reckless spending, and hopes to pin it on the GOP. Hence, the scary talk from Treasury Secretary Yellen about the catastrophic impact of default.

Biden is being dishonest with the American people. When the Conference Board puts the odds of a recession over the next 12 months at 99%, a position the pre-dates the debt ceiling debate, you can bet a downturn is coming.  

After assuming the Oval Office, President Joe Biden and his Democrat colleagues blew out trillions of dollars in unnecessary spending (long past the COVID-19 emergency), igniting an overheated economy and rampant inflation. Fed Chair Jay Powell let the embers smolder far too long, worried that raising interest rates might cost him his reappointment bid. Finally, in March 2022, he initiated one of the most aggressive rate hiking cycles in our country’s history. 

Changes in monetary policy impact the economy with a 12- to 18-month lag; we are now seeing the fall-out from 10 rate increases. Generally, interest-rate sensitive industries like housing are hit first and, sure enough, housing starts and permits are now down substantially from last year.  

In addition to housing, jacking up interest rates has led to the failures of three large U.S. banks, which has cast a shadow over credit. Solvent banks are lending more cautiously, anxious about unrealized losses on their balance sheets and deposit outflows. That slows economic growth. 

Another fallout from rapid interest rate hikes is that stock and bond markets sold off sharply last year. The S&P 500 was down nearly 20% and the bond market suffered one of the worst years ever. Financial losses impact consumer sentiment, which has tumbled, and also spending. 

Ed Hyman, Wall Street’s top-ranked economist, is now predicting a “hard landing” recession in coming months, with unemployment soaring to 5.2% by this time next year. Hyman, like others, was shocked the Federal Reserve raised rates at their last meeting, even as large regional banks were tottering. Never before during a financial crisis has the Fed continued to tighten, making conditions even more difficult. 

If Hyman and the majority of his peers are correct, we are on the cusp of a downturn. So far, such forecasts have been premature. A robust jobs market and excess savings piled up during the pandemic provided the economy a cushion, and Americans have continued to spend.
 
But some softening of the jobs market and declining savings suggest the consumer may soon retrench. Indeed, a year-over-year drop in credit card spending in recent weeks signals a slowdown. 

Biden is right to worry about a downturn, and to imagine he’ll take the blame. As Democratic strategist James Carville so famously said, “It’s the economy, stupid.” Voters connect the dots between too much government spending and inflation; they will hold the president accountable.  

But that’s far from his only problem. His age is a major concern to voters, and he recently made history by earning the lowest approval ratings ever recorded for a first-term president. Voters give him low marks not only on the economy, but also on immigration, crime, foreign policy and a host of other issues, like honesty. His repeated bogus claims that he is lowering inflation or reducing the deficit have undermined his credibility.  

When in the most recent Real Clear Politics average, 66% of the country think we’re on the wrong track, it’s obvious Biden’s campaign is in jeopardy. Several polls show Biden losing in a head-to-head matchup to Donald Trump, who also earns remarkably low approval ratings. Given the ongoing vilification of the former president, that the contest is even close is remarkable. 

No, a recession would obviously be bad news for the president, but the economy is only one of many undertows for this White House. Indeed, one looming problem is our nation’s deficits and debt. Voters understand that the United States suffered an emergency because of COVID-19; they were patient with the trillions of dollars spent to keep the economy from buckling during the lockdowns. But now they want our finances brought under control. 

Republicans in the House are trying to do just that. They have proposed that in exchange for raising the debt ceiling we should undertake some modest reforms – which leftists like Vermont Independent Sen. Bernie Sanders find unconscionable but that most Americans would find reasonable.  

The GOP bill would return the government’s discretionary spending to fiscal year 2022 levels and cap annual spending growth at 1% for a decade. Given the extraordinary spend-a-thon of recent years, which totaled more in today’s dollars than the U.S. spent fighting World War II, that seems a good starting point.

Note that deficits over the next decade without the GOP proposed cuts total $21 trillion, an estimate from the Congressional Budget Office that is doubtless conservative.

Biden appears eager for a showdown over the debt ceiling, likely hoping he can blame the looming recession on the GOP push to cut spending. He and his Democrat colleagues denounced the GOP plan as the work of “extreme MAGA Republicans,” as if the Limit, Save, Grow Act had been concocted in the bowels of the Capitol Building on January 6. In fact, nearly all GOP House members voted in favor of the bill. 
 
Joe Biden’s stutter-step approach to negotiating the debt issue, refusing to sit down and then making concessions and now reversing his position creates uncertainty, which is not helpful for investors or the economy. But as to creating the conditions for a recession or trashing his reelection bid, Biden is doing just fine, all on his own.   

https://www.foxnews.com/opinion/biden-wants-blame-debt-crisis-group-cant-avoid-economic-incompetence

Published on Fox News

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Liz Peek

2 years ago

Liz Peek

Are you better off than you were 2 years ago?
www.foxnews.com/opinion/inflation-hurting-americans-biden-bill-worse-liz-peek
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Inflation already hurting Americans, and Biden's Build Back Better will make things even worse

Are you better off than you were two years ago? That’s what Republicans will ask voters a year from now.

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Don't you know that the global supply chain story is done on purpose for there to be empty shelves at the grocery stores and what not to screw with the public. This is done by the world economic Forum with the likes of Klaus Schwab Bill Gates and George Soros and their ilk

YOU are the delusional personality, dear. Sticking it against the US to please 🖕trump and putin. Disgusting anti American.

Maybe Liz you would support some immigration reform , you bitch about not having enough servers in your entitled selfish world , oh and you are against mask wearing too , how trumpian of you, the pandemic is all a hoax to you , just dont get sick out there might not be any hospital beds for you . The drs and nurses are sick and tired of taking care of anti mask anti vax selfish repubs Go claim your Darwin Award .

Nope

No Trump, No Trump Doctrine

There's a growing rumble, by the minute, from people all over the planet who are suddenly missing Trump's policies, not necessarily Trump.

First, Trump's policies, domestic and foreign, were clear and common-sense driven which is anathema to the Swamp control freaks who thrive on complication and confusion to mask their real agendas and who they're really working for.

Second, the hypocrites who are now lamenting Trump's policies are the same, domestic and foreign, who fought Trump every inch of the way to prevent the implementation of policies that clearly worked.

Third, without Trump the fighter, no Trump policies would have ever seen the light of day.

And without what is now collectively the Trump Doctrine, what clear metric would we have to truly understand the depth and devastation of the Biden/Swamp debacle?

Yes I am

Mostly- I mean republicans ARE making laws to take woman’s healthcare away from them causing deaths – which this fiction writer seems not to get-
Yes dumb dumb you need abortion available to woman the whole nine months + what happens when A pregnancy can cause the death of the mother in month 7 – you let the mother die- this liz seems to think it’s ok to kill a woman simply for having an unviable pregnancy- I really don’t understand woman republicans –

Liz you’re not a real journalist you’re a joke another fake Fox News / propaganda outlet the same as Hitler used to divide and conquer the weak minded

When the Fed says it finds 2% inflation desirable, it is admitting that it seeks to embezzle HALF of Americans' purchasing power every 35 years, just enough embezzling to not attract too much attention! Phase out the Fed and its DEBT-BASED FIAT system, and restore the CONSTITUTIONAL monetary system based on "gold and silver Coin."

You are a dishonest traitor like Trump. You know Pence and Biden cooperated with the DOJ while Trump lied and hid and shared top secret documents that put American military lives in danger. You should be ashamed of yourself. God sees you and what you are doing.

Moron

Stupid doesn't describe Liz Peek well enough. No one knows who you are so whenever you troll your way onto some useless FOX program, you utter absurd TDS infected nonsense. Stay smart Mensa. I will never have you on my radio talk show.

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Liz Peek

2 years ago

Liz Peek

Progressives got hammered on Election Day- but that was only the latest big defeat. What does this mean for Dems? Can Joe pivot? (spoiler-probably not)
www.foxnews.com/opinion/progressive-drubbing-biden-pivot-changing-guard-liz-peek
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Liz Peek: Progressives' drubbing opens door to (unlikely) Biden pivot, changing of the guard

They may not know it yet, but the ultra-liberal cabal that has choked Democrat politics and humiliated spineless party leaders like House Speaker Nancy Pelosi, D-Calif., has lost its mojo.

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President Trump lost the election you are such a dummy he got over 95 million the other yo-yo got about 45 million the rest was fake you're a disgrace. Www.magapill.com

Liz Peek

2 years ago

Liz Peek

Joe Biden wanted to be an historic president- and he has done that. Worst ratings slide of any president since WWII.
He (or whoever is running WH) doesn’t care about voters’ top issues – instead Team Biden obsessing about climate change, gender and race.
No wonder he’s in trouble!
www.foxnews.com/opinion/biden-polls-ignoring-voter-concerns-liz-peek
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Liz Peek: Biden vs. Americans – his priorities, like climate change, ignore top worries of most voters

Voters are worried about inflation, jobs, crime, education and our open border, while the Biden White House is laser-focused on climate change, transgender rights, racism and reducing inequality.

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The great days turned to very bad days in less than a year.
Congress needs a flip to GOP next year to stop the craziness

www.facebook.com/1218170708/posts/10226625535324074/

Climate change is important.
The GOP may not care about it now, but their children will.
He is trying to get an infrastructure bill through.
He has had issues with Afghanistan, but what else could he do
The people who are taking over Afghanistan were released by the previous administration.
I am sure that Biden is not perfect but he is better than Trump.

Liz.

Duuuuuh President Trump lost the election you are such a dummy he got over 95 million the other yo-yo got about 45 million the rest was fake you're a disgrace. Www.magapill.com

worst ratings only from a side thats ignorant to the truth. the effects of coming off a pandemic with oil companies profitting off the pumps in order to pay their shareholders back from profits lost. inflation effects the entire world but of course your base doesnt pull their heads out their asses for one second to look around and use common sense. keep spreading bullshit and weakening our country til it no longer functions as a democracy….bc i see through your fake Christian patriotic pow wows. you are the opposite of ehat you claim and you are the definition of what you claim your rivals are. deflection, projection, hypocrisy. 3 words that sum you up

Your bias is ridiculous. Makes you a bad writer. Btw avg teacher pay is way above 31000. Sensationalize much?

#LetsGoBrandon

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