this post was submitted on 03 Feb 2024
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The world is starting 2024 on an optimistic economic note, as inflation fades globally and growth remains more resilient than many forecasters had expected. Yet one country stands out for its surprising strength: the United States.

After a sharp pop in prices rocked the world in 2021 and 2022 — fueled by supply chain breakdowns tied to the pandemic, then oil and food price spikes related to Russia’s invasion of Ukraine — many nations are now watching inflation recede. And that is happening without the painful recessions that many economists had expected as central banks raised interest rates to bring inflation under control.

Part of the reason that economic growth has been so surprisingly strong in the United States is simple: The American government has continued to spend a lot of money.

Government expenditures as a share of overall output hovered around 35 percent in America in the years leading up to the pandemic, based on I.M.F. data. But in 2020 and 2021, they jumped above 40 percent as the government responded to the coronavirus with about $5 trillion in relief and stimulus to people, businesses, institutions, and state and local governments.

Both states and households have only slowly spent down the savings they amassed during those pandemic years, so the money has continued to trickle through the economy like a slow-release booster shot. On top of that, government spending has remained elevated as the Biden administration has begun to make sweeping infrastructure and climate investments.

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[–] Taco2112@lemmy.world 9 points 9 months ago (1 children)
[–] gAlienLifeform@lemmy.world 20 points 9 months ago (2 children)

... administration officials say Mr. Biden is keenly aware that prices remain too elevated for many families, even as key items, like gasoline and household furnishings, are now cheaper than they were at their postpandemic peak.

And yet there is a general belief across administration officials and their allies that there is little else Mr. Biden could do unilaterally to force grocery prices down quickly.

Ugh, I swear every single issue with this administration is just "We understand there is a problem, but you can't expect us to do anything about it!"

[–] Taco2112@lemmy.world 6 points 9 months ago* (last edited 9 months ago) (1 children)

Really, it’s Congress who should be trying to tackle the issues but they don’t want to make decisions so they’ve basically relinquished their powers to the President who can only govern by executive decision and the Supreme Court who were supposed to be the ones making decisions on unclear laws. At the end of the day, the President only has so much power and Congress is where people are failing to do their jobs.

[–] gAlienLifeform@lemmy.world 16 points 9 months ago (2 children)

I am so incredibly fucking tired of hearing this bullshit excuse over and over and over. Yes, Congress sucks and should do more, no, that does not excuse the Biden administration's unwillingness to play hard ball with investigations and law suits and executive orders and the million and two other things they could be doing.

"But the courts would ju-"

I don't care and neither do a lot of other voters. If a court throws your executive order out, change a superficial word or two and issue it again, and make them throw it out all over again. If a court enjoins you from doing something that needs doing, put on a silly hat and keep doing it, and tell the court "no, this is totally different, I'm doing it while wearing a silly hat, your order didn't mention anything about this silly hat." And when they enjoin your silly hat, get a silly wig and keep doing what needs doing.

Under our current laws a determined executive branch can move a hell of a lot faster than judicial or congressional oversight can, they just need to be willing to go for it. Until I see dozens of attorneys for federal agencies sitting in jail cells for contempt of court, don't tell me this administration is really trying because they're just not.

[–] EatATaco@lemm.ee -5 points 9 months ago

I think the point of that article is to point out the absurdity of the top level comment that implies these economic articles never talk about how prices are still high.