Americans are bleeding money and struggling to make ends meet, thanks to President Joe Biden (D).
“New economic numbers show that the average American has lost the equivalent of $4,200 in annual income under the Biden administration because of inflation and higher interest rates,” the Heritage Foundation said in a press release Thursday.
The foundation continued:
Heritage experts calculated this shocking number based on different sets of data. Consumer prices have risen 12.7% since January 2021, significantly faster than wages, so that the average American worker has lost $3,000 in annual purchasing power. Further, as the Federal Reserve implements tighter monetary policy to reduce inflation, interest rates are rising. Higher rates have in turn increased borrowing costs on mortgages, vehicle loans, credit cards, and more. The higher interest rates and borrowing costs have effectively reduced the average American’s purchasing power another $1,200 on an annualized basis.
Meanwhile, more Americans are shouldering credit card debt as inflation continues hurting families, Breitbart News reported Wednesday.
“In a recent survey from CreditCards.com commissioned by YouGov, 60 percent of Americans have been carrying monthly credit card debt for at least 12 months – a ten percent increase from 2021,” the outlet said.
During a recent interview, Sen. Rand Paul (R-KY) reacted to an estimate that projects households will be forced to spend over $11,000 more this year to maintain the same standard of living:
What we know for sure is that now we’ve lost more to inflation than they gave us in the form of free money. The inflation came from the free checks that were passed out. They shut the economy down. They sent free checks to everyone. And they said, oh, this will make up for it. But guess what? When people add up how much they’re paying for gas and the grocery store, it’s canceled out all the free money. And I don’t think the inflation’s over by a long shot.
EJ Antoni, research fellow in regional economics with the Heritage Foundation’s Center for Data Analysis, spoke about the financial burden placed on Americans.
“This financial catastrophe for American families is the direct result of a president and Congress addicted to spending our money, combined with a Federal Reserve compliantly enabling this addiction by printing more dollars,” he said.
In addition, American voters trust the Republican Party over Democrats by a wide margin when it comes to the economy as the midterm elections approach, according to a recent Morning Consult poll.