The Harris Economy: ‘39% Of Americans Worry They Can’t Pay The Bills’

Without Harris’ Tiebreaking Votes, Democrats Would Have Not Been Able To Pass Their Reckless Taxing And Spending Sprees That Led To The Highest Inflation Since The 1980s

 March 4, 2021: Vice President Kamala Harris cast the tiebreaking vote on the motion to proceed to H.R.1319, the so-called American Rescue Plan Act. (H..R. 1319, Roll Call Vote #73: Passed 51-50 With Vice President Vote: D 48-0; R 0-50; I 2-0, 3/04/2021; VP Harris Voted Yea)

 August 6, 2022: Vice President Harris cast the tiebreaking vote on the motion to proceed to H.R. 5376, the so-called Inflation Reduction Act. (H.R. 5376, Roll Call Vote #287: Passed 51-50 With Vice President Vote: D 48-0; R 0-50; I 2-0, 8/06/2022; VP Harris Voted Yea)

 August 7, 2022: Vice President Harris cast the tiebreaking vote to pass the so-called Inflation Reduction Act. (H.R. 5376, Roll Call Vote #325: Passed 51-50 With Vice President Vote: D 48-0; R 0-50; I 2-0, 8/07/2022; VP Harris Voted Yea)

‘The Original Sin Was The $1.9 Trillion American Rescue Plan’

“Economists largely agree that the pandemic stimulus and other spending bills Mr. Biden signed over the past two years have added to inflation …” (“An Inflation-Driven Midterm Will Not Change Biden’s Economic Focus,” The New York Times, 11/10/2022)

·       “Many economists have suggested that President Joe Biden’s stimulus package in March 2021 intensified the inflation surge.” (The Associated Press, 7/12/2023)

·       STEVEN RATTNER, Former Obama Administration Counselor to the Treasury Secretary: “The original sin was the $1.9 trillion American Rescue Plan, passed in March [2021]. The bill — almost completely unfunded — sought to counter the effects of the Covid pandemic by focusing on demand-side stimulus rather than on investment. That has contributed materially to today’s inflation levels.” (Steven Rattner, Op-Ed, “I Warned the Democrats About Inflation,” The New York Times, 11/16/2021)

·       FORMER TREASURY SECRETARY LARRY SUMMERS: “I’m not sure that we would have the inflation if there had never been a pandemic and, even if there had been a pandemic, without the overwhelming stimulus that was applied well into recovery — during 2021.” (“Summers Says Pandemic Only Partly To Blame For Record Inflation,” The Harvard Gazette, 2/04/2022)

 ·       “‘The United States has had much more inflation than almost any other advanced economy in the world,’ said Jason Furman, an economist at Harvard University and former Obama administration economic adviser, who used comparable methodologies to look across areas and concluded that U.S. price increases have been consistently faster. The difference, he said, comes because ‘the United States’ stimulus is in a category of its own.’” (“Rapid Inflation Fuels Debate Over What’s to Blame: Pandemic or Policy,” The New York Times, 1/22/2022)

·       THE WASHINGTON POST’s FACT CHECKER: “[I]t’s generally believed that some inflation can be attributed to [Biden’s] covid relief bill.” (“Fact-Checking Biden’s Claims As He Seeks To Save His Candidacy,” The Washington Post, 7/10/2024)

‘As Vice President, Harris Has Largely Moved In Lockstep With President Biden On Economic Issues’

“As vice president, Harris has largely moved in lockstep with President Biden on economic issues, and some analysts see this record as a road map. ‘In general, we think she’ll pick up the Biden-Harris mantle,’ policy analysts at Evercore ISI said in a note Tuesday.” (“What Would a Harris Presidency Mean for the Economy?” The Wall Street Journal, 7/24/2024)

“As Mr. Biden steps away from the 2024 campaign and Vice President Kamala Harris tries to rally support for the presidential nomination, economic questions loom large over her candidacy.” (“Can Kamala Harris Sell ‘Bidenomics’?” The New York Times, 7/23/2024)

“Harris’s most immediate hurdle might be overcoming Americans’ dour views on the economic legacy of her own administration.” (“What Would a Harris Presidency Mean for the Economy?” The Wall Street Journal, 7/24/2024)

·       “And can she overcome voter anger over inflation, which peaked at 9 percent in 2022 … ?” (“Can Kamala Harris Sell ‘Bidenomics’?” The New York Times, 7/23/2024)

·       “Polls have made those vulnerabilities repeatedly clear, including one this month by The Economist/YouGov showing that voters disapprove of Mr. Biden’s handling of jobs and the economy, 51 percent to 39 percent. They disapproved of his handling of inflation by an even wider margin.” (“Can Kamala Harris Sell ‘Bidenomics’?” The New York Times, 7/23/2024)

And Harris Wants To Spend Even More

AXIOS: ‘Harris plans to finish Biden's progressive agenda’ (Axios, 7/24/2024)

·       “Vice President Kamala Harris has used her first days as Democrats' likely nominee for president to make it clear that she'll pursue big — and expensive — parts of Joe Biden's domestic agenda that never made it across the finish line.” (“Harris plans to finish Biden's progressive agenda,” Axios, 7/24/2024)

·       “Her plans include pushing for nearly $2 trillion to establish universal pre-K education …” (“Harris plans to finish Biden's progressive agenda,” Axios, 7/24/2024)

CNN: ‘Many Americans Regularly Worry They Won’t Be Able To Make Ends Meet,’ ‘Millions Of Americans Are Hurting From Years Of Rising Prices’

“Many Americans regularly worry they won’t be able to make ends meet. Nearly four in ten (39%) of US adults say they worry most or all of the time that their family’s income won’t be enough to meet expenses, according to a new CNN poll. That’s up from 28% who expressed those concerns in December 2021, and it’s similar to the numbers seen during the Great Recession (37%).” (“39% Of Americans Worry They Can’t Pay The Bills,” CNN, 7/23/2024)

“To cope, significant shares of Americans said they are adding side jobs, cutting down on driving and putting more expenses on credit cards.” (“39% Of Americans Worry They Can’t Pay The Bills,” CNN, 7/23/2024)

 ·       “The CNN poll showed that 35% of adults say they’ve recently had to take on extra work to make ends meet. Even higher percentages of Latinos (52%), Black Americans (44%) and those under the age of 45 (47%) say they’ve taken extra work.” (“39% Of Americans Worry They Can’t Pay The Bills,” CNN, 7/23/2024)

 “The findings underscore how, despite national statistics that show unemployment is low and inflation is cooling, millions of Americans are hurting from years of rising prices.” (“39% Of Americans Worry They Can’t Pay The Bills,” CNN, 7/23/2024)

 ·       “Even higher percentages of Latino (52%) and Black (46%) Americans said they’re worried most or all of the time about making ends meet, according to the poll.” (“39% Of Americans Worry They Can’t Pay The Bills,” CNN, 7/23/2024)

 ·       “More than half (55%) of those making less than $50,000 a year similarly worry about having enough money to meet expenses.” (“39% Of Americans Worry They Can’t Pay The Bills,” CNN, 7/23/2024)

 “Two-thirds of Americans (65%) say in an open-ended question that expenses and the cost of living are the biggest economic problem facing their family today. That’s down from 75% in the summer of 2022 but well ahead of the 43% who mentioned an issue related to expenses in the summer of 2021.” (“39% Of Americans Worry They Can’t Pay The Bills,” CNN, 7/23/2024)

 “The typical household is spending $925 more a month to purchase the same goods and services as three years ago, according to Moody’s Analytics.” (“39% Of Americans Worry They Can’t Pay The Bills,” CNN, 7/23/2024)

 ‘Consumers Are Still Trying To Catch Up To The Price Spikes Of 2022 And 2023,’ ‘The Cumulative Impact Of Several Years’ Worth Of Inflation Has Done A Number On Household Budgets’

 “Prices are still higher than they were last year – they’re just rising at a slower pace. And consumers are still trying to catch up to the price spikes of 2022 and 2023.” (“39% Of Americans Worry They Can’t Pay The Bills,” CNN, 7/23/2024)

 “‘We can talk all day about how inflation is moderating but the cumulative impact of several years’ worth of inflation has done a number on household budgets,’ said Greg McBride, chief financial analyst at Bankrate. ‘The view from 35,000 feet is unemployment is low, the economy is growing and people are spending money. The reality on the ground is moderating inflation doesn’t mean prices are coming down, just that they aren’t going up as fast.’” (“39% Of Americans Worry They Can’t Pay The Bills,” CNN, 7/23/2024)

 ·       According to the Bureau of Labor Statistics, since President Biden and Vice President Harris took office in January 2021, prices have increased 20.1%. (Bureau of Labor Statistics, Accessed 7/11/2024)

 “‘Many have seen their buying power eroded. Even if your income has kept up with prices, you’re just treading water,’ said McBride.” (“39% Of Americans Worry They Can’t Pay The Bills,” CNN, 7/23/2024)

 “Others say they’ve cut back on driving (41%) and they are taking on credit card debt to afford necessities (37%).” (“39% Of Americans Worry They Can’t Pay The Bills,” CNN, 7/23/2024)

“As a result of current economic conditions, most Americans say they’ve had to cut back on spending on extras and entertainment (69%) and changed their grocery buying (68%), according to the CNN poll.” (“39% Of Americans Worry They Can’t Pay The Bills,” CNN, 7/23/2024)

‘The Grocery Store Is Just Outrageous Right Now. But It’s Not Just That. Everything Has Gone Up’

“‘The grocery store is just outrageous right now. But it’s not just that. Everything has gone up. Clothing. My insurance,’ said Angela Russell, an Ohio resident who works as a program analyst at the Centers for Disease Control and Prevention (CDC). Russell, who has two adult children and three grandkids, said she recently moved out of her rental home in Cincinnati in favor of one in a rural area where the rent is cheaper.” (“39% Of Americans Worry They Can’t Pay The Bills,” CNN, 7/23/2024)

 ·       “‘The pressure is real. Everything is so much more expensive than it was four years ago. It’s astronomical what you’re paying,’ said Russell.” (“39% Of Americans Worry They Can’t Pay The Bills,” CNN, 7/23/2024)

 ·       “Russell, the Ohio woman who works at the CDC, said her pay is at the mercy of the federal budget – and doesn’t include the bonuses or stock options that people working in other industries rely on. ‘Literally everything seems like it’s outpacing what I earn,’ she said. Russell has shifted her spending to focus on essentials by canceling most of her streaming services, going to the movies less often and buying candy at Walmart instead of at the movie theater when she does go. ‘I’ve had to cut back on all the fun things I like to do. I used to go to the bookstore or get magazines. Now, I get books from the library,’ she said.” (“39% Of Americans Worry They Can’t Pay The Bills,” CNN, 7/23/2024)

REMINDER: ‘[T]hings Are Getting Noticeably Worse For Those With Lower Incomes’

 “[T]hings are getting noticeably worse for those with lower incomes. That’s a troubling trend at any time, but particularly in an election year. And the Fed is signaling that relief for those debt-burdened Americans isn’t imminent.” (“Debt-Burdened Americans Find No Reprieve Even As Inflation Cools,” Politico, 6/12/2024)

 “That news comes as people who max out their credit cards are increasingly having difficulty paying off their debt, according to a New York Fed report on the first quarter of the year. ‘About a third of balances associated with maxed-out borrowers have gone delinquent in the last year, compared to less than a quarter of balances per year before the pandemic,’ researchers said in a recent blog post.” (“Debt-Burdened Americans Find No Reprieve Even As Inflation Cools,” Politico, 6/12/2024)

 “Beth Ann Bovino, chief economist at U.S. Bank, said households on average spend about 10 percent of their income on debt payments — but that for lower-income people, it’s more than 20 percent. ‘Lower-income households felt the pain from the disease, which was higher inflation. And now they feel the pain from the cure, which is higher borrowing costs,’ Bovino said.” (“Debt-Burdened Americans Find No Reprieve Even As Inflation Cools,” Politico, 6/12/2024)

 “Americans have given President Joe Biden low marks on his performance when it comes to the economy. Inflation and the economy’s general health remain top priorities for many voters, and Biden’s approval rating among those with household incomes of less than $75,000 stood at just 31 percent as of last month, according to Reuters.” (“Debt-Burdened Americans Find No Reprieve Even As Inflation Cools,” Politico, 6/12/2024)

And Voters Continue To Tell Pollsters How Much They Dislike The Biden-Harris Administration’s Economic Policies, Especially Their Handling Of Inflation

MONMOUTH UNIVERSITY: “Currently, 46% of Americans say they are struggling to remain where they are financially. In polls conducted between 2022 and 2023, this number ranged between 37% and 44%. In prior polls from 2017 to 2021, this sentiment was much lower at 20% to 29%.” (“Struggling or Stable? Economic Outlook Focused on High Prices,” Monmouth University, 6/19/2024)

·       “Those who are more likely to feel they are struggling include Republicans (54%) and independents (49%), those who earn less than $50,000 a year (56%) and between $50,000 and $100,000 (47%), and those who are Black, Hispanic, Asian, or of another race (53%). Among non-Hispanic whites, those without a college degree (48%) are much more likely than college graduates (29%) to say they are struggling.” (“Struggling or Stable? Economic Outlook Focused on High Prices,” Monmouth University, 6/19/2024)

 ·       “When asked about the federal government’s impact on their top family concern, 47% say recent government actions have hurt them, 40% say there has been no impact, and just 13% say government actions have actually helped them.” (“Struggling or Stable? Economic Outlook Focused on High Prices,” Monmouth University, 6/19/2024)

“‘Even with a declining inflation rate, prices continue to be much higher than they were four years ago. That’s the metric that has really mattered to many Americans over the past two years. Economic concerns may not be the top motivating factor for all voters but it defines the contours of this year’s election,’ said Patrick Murray, director of the independent Monmouth University Polling Institute.” (“Struggling or Stable? Economic Outlook Focused on High Prices,” Monmouth University, 6/19/2024)

“Moreover, there is little sign that Biden has persuaded voters that he’s the better economic steward.” (“Biden Bleeds Democratic Support, Undermining Case to Take on Trump,” The Wall Street Journal, 7/05/2024)

 ·       “By 28 percentage points, more people disapprove than approve of Biden’s handling of inflation—a weaker showing than the 23-point gap in February. By 22 points, more people disapprove than approve of his handling of the economy, also a weaker showing than in the prior survey.” (“Biden Bleeds Democratic Support, Undermining Case to Take on Trump,” The Wall Street Journal, 7/05/2024)

 An SSRS poll for CNN this week found 52% voters have an unfavorable opinion of Kamala Harris. (SSRS-CNN Poll, 7/24/2024)