Reports about the return of President Biden have been greatly exaggerated. On Tuesday, Biden signed into law what the media has touted as a pivotal “Biden victory.” The press conference is just the culmination of a broader public relations effort that President Biden claims is gaining “momentum.”
But small businesses on the front lines of the economy are telling a very different story of economic turmoil as this tax and spending law gets worse.
Consider the latest SBIQ survey from the Job Creators Network Foundation. Three-quarters of US small businesses say the economy is fair or bad, and 50% say things are bad right now. Most respondents fear they will have to shut down for the Biden economy.
Given the ongoing history of inflation, this pessimism is not surprising. This is the biggest story to have impacted ordinary Americans since the COVID-19 pandemic, but it seems to have been banished from the front page.
Last week, the Labor Department said consumer prices were up 8.5% over the past year, hovering near a 41-year high. Wholesale prices paid by small businesses are rising even faster. Real inflation, historically measured in the same way, is well into the double digits.
Biden and the media are trying to gaslight Americans about the inflation crisis. Mr. Biden ludicrously claimed last week that inflation was “zero” because it didn’t get any worse in July. The silence of countless media “fact-checkers” on this allegation is deafening.
Still, Americans don’t need to tell the media about inflation. They feel it every day, every time they shop, fill up a tank of gas, pay their utility bills, or sign their kids up for summer camp.
Runaway inflation is a particular problem for America’s seniors, whose incomes are mostly fixed. Older people face a double whammy of high inflation and declining savings due to a downturn in the stock market.
Inflation has risen about two-thirds as fast as wages over the past year, meaning even working Americans are experiencing pay cuts as Mr. Biden lowers real wages. To do. The White House and media seek to deceive, distract, and distract Americans from this painful decline in living standards.
The misnamed Inflation Reduction Act (IRA) will fuel this inflationary fire. He spends $433 billion on Democratic climate change and health care projects. This includes expanding the Obamacare subsidy, which further inflates health care premiums.
This will add more than $500 billion in taxes to businesses, including small businesses. Add a new he IRS agent that rivals a football stadium to overwhelm small businesses with audits. These new costs make it difficult for small businesses to expand, increase supply and lower prices.
Only 12% of Americans believe the bill will actually reduce inflation. 36% believe it will increase. Recognizing that the American public has not accepted the bill’s claims that it will curb inflation, the media has changed its name to the “Climate and Health Care Bill.”
A bipartisan joint taxation committee found that most of the revenue collected from the law’s tax increase is paid by everyday Americans who earn $400,000 or less. Maintain profit margins.
This law breaks Biden’s campaign pledge not to raise taxes on these ordinary income earners. This runaway inflation and the one-two punch of higher taxes on everyday Americans and small businesses will deepen the ongoing recession.
But as the summer ends and the election season heats up, expect to hear more IRA misinformation from the White House and the media. I’m planning on taking a “victory lap” to keep it.
PR efforts won’t change the real economic pain facing Americans. Biden’s signature bill is the epitome of his failed president, riddled with reckless spending and straining small businesses. No amount of spin can remove the stain on the law.
Alfredo Ortiz is President and CEO. job creator network.