Leading Democrat admits 'we all knew' our big spending would bring inflation
Somebody out the among the cacophonous Democrat scrum is sounding like...Milton Friedman.
You know, the same Milton Friedman Joe Biden insisted "isn't running the show anymore."
Apparently, Rep. Jim Clyburn, the Democrat party's senior statesman, thinks the late Nobel Prize–winning economist is.
According to Matt Margolis, writing at PJMedia:
During an appearance on MSNBC on Thursday, Rep. James Clyburn (D-S.C.) admitted that the Biden administration and congressional Democrats knew that certain of their actions would drive inflation up.
"What do you say to people who say, 'Boy, yeah, but Washington can talk about all these big programs everything else, but I'm worried about the cost of food. I'm seeing the cost of eggs shoot up chicken, gasoline, you know, coming now with the winter, the heating.' I mean, these are all concerns that hit very directly to people who may say you know 'what's going on in DC doesn't think of us'?" host Jose Diaz-Balart asked.
"Well, let me make it very clear. All of us are concerned about these rising costs, and all of us knew this would be the case when we put in place this recovery program. Any time you put more money into the economy, prices tend to rise," Clyburn, the House majority whip, admitted.
The video is here.
So they "all knew" their monster spending bills would cause inflation, and they did it anyway. Back when they were promoting their $1.9-trillion "American Rescue Plan" of 2021, their $1.5-trillion Consolidated Appropriations Act of 2021, their adjacent $13.6 billion for Ukraine, their $1.5-trillion Infrastructure and Jobs Act of 2021, plus their extensions of various COVID relief acts of the previous administration that were supposed to be sunsetted out. Don't forget also Joe Biden's executive orders spendings, such as his student loan debt relief plans. This was encored with their $786-million "Inflation Reduction Act" of 2022.
And yet they "all knew" that each and every one of these spend-a-thons would throw fat on the fires of inflation, and that inflation has gotten very big indeed.
Joe Biden has been telling us all along that the inflation villain is Vladimir Putin. Or greedy oil companies. Or wicked chicken manufacturers. Or cruel gas station owners. Or Republicans. Or President Trump. He's always got someone new to blame.
Yet while I have my doubts that Biden knows where inflation comes from, based on his inherent stupidity, it's pretty obvious that Clyburn, and according to him, the rest of the Democrats, know very well where inflation comes from.
"Inflation is always and everywhere a monetary phenomenon that is produced only by a more rapid increase in the quantity of money than output (goods, services, and/or assets)," the great man, Friedman, said.
Now Clyburn has let the truth come out: Democrats knew that Friedman was right, and big government spending has brought on the monster of inflation that we see now. To paraphrase Hemingway, who spoke of how bankruptcy comes on, it came "gradually, then suddenly."
Now they are fighting a huge monster of their own making, which can be resolved only with a recession and soaring interest rates.
One wonders what Clyburn must be thinking as he contemplates his kingmaker role in bringing Joe Biden to the presidency. Is he disappointed with his decision to put a human spending machine in office? Or is he just cynical?
Great work, Democrats.
He knew. They knew. Clyburn just let the cat out of the bag.
Image: Screen shot of Forbes Breaking News video via YouTube.