In the span of a little more than a year, Joe Biden has taken a wrecking ball to the economy.
Inflation is reaching historic highs, along with gas prices.
It’s like the 1970s all over again and it may get worse.
FOX Business reports:
Stagflation fears rising, with 77% of investors forecasting economic storm
A growing number of economists and money managers are sounding the alarm over a possible return to 1970s-style “stagflation,” as the Federal Reserve moves to tame sky-high inflation.
A majority – about 77% — of investment fund managers now say they see “below-trend growth and above-trend inflation” — aka stagflation — as the most likely outcome for the economy over the next year, according to a recent survey from Bank of America Global Research.
Stagflation is the combination of economic stagnation and high inflation, characterized by soaring consumer prices as well as high unemployment. The phenomenon ravaged the U.S. economy in the 1970s and early 1980s, as spiking oil prices, rising unemployment and easy monetary policy pushed the consumer price index as high as 14.8% in 1980, forcing Fed policymakers to raise interest rates to nearly 20% that year.
Although the investment managers believe that inflation in the U.S. has peaked, they are still piling up cash on worries that economic growth could be slowing. Cash levels hit 6.1% in May, according to the survey, the highest level since September 2001. It’s also up from 5.5% in April.
Biden is worse than many people even imagined.
Sales plunge as prices stay high.
Stagflation in Housing.
The economic mess brought to you by the inflationary madness of Biden-Pelosi-McConnell pic.twitter.com/rYwMCmsXPi
— Steve Cortes (@CortesSteve) May 24, 2022
16 months under Biden & a leftist congress has resulted in record prices, rising interest rates & a collapsing stock market and put America on a path to stagflation
— Marco Rubio (@marcorubio) May 19, 2022
Stagflation is here folks. We are in the 70s again. It’s no longer theoretical.
Maybe electing a senile old man who can’t remember what day it is wasn’t the best idea?
— Bonchie (@bonchieredstate) May 20, 2022
Things are going to get worse before they get better.