White House Economic Adviser: Inflation Is 'Unacceptably High'

(CNSNews.com) – White House Economic Adviser Jared Bernstein told “Fox News Sunday” that a year ago when inflation was at 5.4 percent inflation, there were “unforeseen things that occurred” namely Russia’s invasion of Ukraine causing an “unacceptable increase.”

Since then, inflation has climbed to 9.1 percent this week.

When asked how the White House got it so wrong, Bernstein said, “That actually was the dominant forecast at the time, and we were very much citing forecast across the board, including those of the Federal Reserve, and I think there are a number of issues.

“One is that there were some unforeseen things that occurred. For example, a war in Ukraine. Now, Ukraine and Russia are both bread baskets and energy baskets for the world, and those have put considerable upward pressure on prices,” he said.

“So, for example, inflation, which is unacceptably high — let’s get that clear right out of the gate — went up 1.3 percent in June. Again, an unacceptably high increase. Half of that increase is energy prices alone,” Bernstein said.

“Now, since then the price of gas has come down 50 cents a gallon. There are now 20,000 gas stations across this country where gas is below $4 a gallon. Still too high, but that’s moving in the right direction, giving Americans some much-needed breathing room. Now, they need more and we’re working on it, but that is a move in the right direction,” he said.

When asked what the administration is doing to combat inflation, Bernstein said, “the key word in there is ‘affordability.’”

“Economists like to talk about inflation. For real people, what that means is what they’re paying at the pump, what they’re paying in their everyday lives and their household budgets. This was a kitchen table issue for President Biden as he grew up, and that’s why he has dispatched best to do everything we can to help,” he said.

“Now, right now, on the docket, something that Democrats are actually aligned on is a plan to lower prescription drug, drug cost. Now, I think everyone who hears me say that probably give some kind of an applause. Everyone wants to see that happen, but while presidents have tried to make it happen for decades, it still hasn’t occurred,” Bernstein said.

“Now, we pay two to three times for prescription drugs what Europeans pay for precisely the same drugs. So it’s time to stand up to big pharma, come together, do something on the affordability there,” he said.

“We also have plans for lowering health insurance premiums, OK? Thirteen million people will see an increase of $800 on average in their health insurance premium if we don’t extend the expansion for coverage under the ACA, under the Affordable Care Act,” Bernstein said.

“These are issues that are on the docket that should be concluded before August, and frankly, should be concluded on a bipartisan measure, because if you care about inflation — and every policymaker should, certainly President Biden does — it’s time to stop pointing fingers and take action,” he added.

From CNSNews - READ ORIGINAL

Some media, including videos, may only be available to view at the original.