Biden Insists August Inflation Report Is a Sign of ‘Progress,’ but It Will ‘Take More Time’ to Bring Prices Down

President Joe Biden is touting the latest inflation report as a sign that inflation is starting to come down. In a statement on Tuesday, Biden said, “Today’s data show more progress in bringing global inflation down in…

Bradley CortrightSep 13, 20222 min read

Read the statement below:

In August, prices rose 8.3% compared to the same month last year, which was down from the 8.5% in July.

However, Heather Long, an economic columnist for The Washington Post, noted that month-to-month Inflation increased 0.1% in August. Economists had predicted that there would be a drop in prices.

The latest report comes despite three consecutive months of falling gas prices that has brought the national average price for a gallon of gas down to $3.70.

Additionally, it was higher than the 8.1% that was predicted by economists surveyed by Bloomberg.

Long also pointed out that price increases remained high as food at home prices were up 13.5% since last year, which was the largest increase since 1979. Rent was up 6.7% over the last 12 months, which was the largest increase since 1986. Electricity costs were up 15.8%, the largest increase since 1981. And health insurance costs were up 24.3%, which is the largest increase ever.

Biden mentioned the passage of the Inflation Reduction Act as a measure that he believes will help tackle price increases.

However, several studies have found that the legislation may not actually have an impact on impact on Inflation — at least not in the short term.