{"id":1343909,"date":"2022-02-25T21:37:38","date_gmt":"2022-02-26T02:37:38","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1343909"},"modified":"2022-02-25T21:37:44","modified_gmt":"2022-02-26T02:37:44","slug":"fact-check-vulnerable-democrat-tom-malinowski-says-the-economy-is-incredibly-strong-booming","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/fact-check-vulnerable-democrat-tom-malinowski-says-the-economy-is-incredibly-strong-booming\/","title":{"rendered":"FACT CHECK: Vulnerable Democrat Tom Malinowski Says the Economy is &#039;Incredibly Strong,&#039; &#039;Booming&#039;"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"float:left\"><div class=\"counts mashsbcount\">26<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Ffact-check-vulnerable-democrat-tom-malinowski-says-the-economy-is-incredibly-strong-booming%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1343909&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><div><img decoding=\"async\" src=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-content\/uploads\/2022\/02\/Tom-Malinowski-640x335-1-1.jpg\" class=\"ff-og-image-inserted\" alt=\"image\" \/><\/div>\n<p class=\"subheading\">CLAIM: Vulnerable Democrat Rep. Tom Malinowski (NJ),\u00a0<a href=\"https:\/\/www.youtube.com\/watch?v=zXo5BI3rtD0\">during<\/a> a recent town hall, was caught on camera saying the \u201ceconomy is incredibly strong\u201d and that it is \u201cbooming.\u201d He also noted that \u201cit is doing far better than anybody thought.\u201d<\/p>\n<p><strong>VERDICT: Mostly False.<\/strong><\/p>\n<figure id=\"D-ROS-B1\" class=\"a8d\"><\/figure>\n<figure id=\"M-ROS-B1\" class=\"a8d\"><\/figure>\n<figure id=\"gmxrevmore\" class=\"H\"><\/figure>\n<p>The economy is not doing \u201cincredibly strong,\u201d as the congressman says it is. In February, it was <a href=\"https:\/\/www.breitbart.com\/economy\/2022\/02\/10\/january-cpi\/\">reported<\/a> that\u00a0consumer prices are up 7.5\u00a0percent,\u00a0jumping the most in nearly four decades as the new year started. As a result, inflation is zapping the savings accounts of American family\u2019s basic needs and added pressure on the\u00a0Federal Reserve to hike the interest rates in March. Breitbart News\u2019s John Carney <a href=\"https:\/\/www.breitbart.com\/economy\/2022\/02\/10\/january-cpi\/\">wrote<\/a>:<\/p>\n<blockquote>\n<p>Although many economists and anti-Trump journalists claimed President Donald Trump\u2019s tariffs would raise prices, consumer prices remained low throughout his administration. Trump\u2019s tariffs turned out not to be taxes on consumers. Instead, they were absorbed by Chinese producers and exporters and the profit margins of most large U.S. companies.<\/p>\n<p>Inflation only began to accelerate last March after years of coming in below the Fed\u2019s two percent target. The Fed had decided to keep interest rates low although the economy was recovering at a faster than expected rate. What\u2019s more, the Biden administration pushed through billions of dollars of deficit spending in the American Rescue Plan. These combined to fuel demand for goods and services faster than supplies could expand, pushing up prices.<\/p>\n<p>Federal Reserve chief Jerome Powell, following the advice of many of the economists on the central bank\u2019s staff, initially claimed that inflation was due to transitory factors. Fed officials forecast that inflation would fall in the latter half of 2021, predicting that supply chains would swiftly unsnarl and a rebalancing of consumer demand from goods to services would relieve pricing pressure. The Biden administration, under the tutelage of former Fed chair and now Treasury Secretary Janet Yellen, largely followed suit and continued to press for even more spending.<\/p>\n<\/blockquote>\n<p>Additionally, <a href=\"https:\/\/www.breitbart.com\/economy\/2022\/02\/25\/bidenflation-pushes-durable-goods-prices-up-most-in-47-years\/\">data<\/a> from the Commerce Department\u00a0recently showed that the price of \u201cbig-ticket consumer goods\u201d such as\u00a0durable goods, made to last three or more years,\u00a0rose\u00a0over the past twelve months by\u00a011.6 percent, which is the most significant annual increase since 1975. Furthermore,\u00a0Nondurable goods prices rose by\u00a07.2 percent, and\u00a0Services prices rose by 4.6 percent.<\/p>\n<p>\u201cThe inflation in the price of durable goods has been even more jarring to consumers because it follows a quarter of a century in which prices consistently fell year after year,\u201d Carney also <a href=\"https:\/\/www.breitbart.com\/economy\/2022\/02\/25\/bidenflation-pushes-durable-goods-prices-up-most-in-47-years\/\">wrote<\/a>.<\/p>\n<figure id=\"M-ROS-B2\" class=\"a8d\"><\/figure>\n<p>In fact, the congressman supported the Democrats\u2019\u00a0$1.2 trillion, 2,702-page\u00a0so-called\u00a0bipartisan infrastructure bill last year, which Biden signed into law and has been <a class=\"x5l\" href=\"https:\/\/www.nytimes.com\/2021\/11\/16\/opinion\/biden-inflation-spending-manchin.html\" target=\"_blank\" rel=\"noopener external\">fueling<\/a> inflation.\u00a0He also supported the\u00a0$1.75 trillion Build Back Better Act\u00a0(BBB), which <a href=\"https:\/\/www.breitbart.com\/politics\/2021\/11\/19\/house-passes-behemoth-build-back-better-act\/\">studies<\/a> found would have caused more harm to the economy. It stalled in the Senate after Sen. Joe Manchin (D-WV) said he could not vote for it.<\/p>\n<p>The <em>Wall Street Journal<\/em> recently <a href=\"https:\/\/www.wsj.com\/articles\/inflation-threatens-to-erode-impact-of-1-trillion-infrastructure-law-11645698601?mod=hp_lead_pos1\">published<\/a> a piece acknowledging that the rise in prices and the\u00a0supply chains crisis caused by the Democrats will also impact their behemoth spending bill since the costs of services are rising. The Biden-backed bill may not be able to afford the cost of\u00a0roads, bridges, railways, fiber optic lines that were supposed to be fully funded from the bill:<\/p>\n<blockquote>\n<p>Elevated costs for materials and labor are already pushing contractors to charge more for construction projects, government data show, increases that economists and industry officials say could reduce the number of infrastructure projects the new federal money can finance. State and local officials facing higher prices may give priority to easier, less ambitious projects, and some worry that a rush of government spending could <a class=\"icon none\" href=\"https:\/\/www.wsj.com\/articles\/inflation-definition-cause-what-is-it-11644353564?mod=series_inflation&#038;mod=article_inline\" target=\"_blank\" rel=\"noopener\">exacerbate inflation<\/a> in the industry.<\/p>\n<p>The cost of construction projects for government rose 13% in January compared with a year earlier, according to supplier price information released by the Labor Department last week. The <a class=\"icon none\" href=\"https:\/\/www.wsj.com\/articles\/producer-prices-inflation-january-2022-11644876284?mod=article_inline\" target=\"_blank\" rel=\"noopener\">producer-price index<\/a> also showed input prices for construction of highways and streets was up 20% from a year earlier, with steel mill products and plastic construction products up 113% and 35%, respectively, over a year. The price of gasoline and diesel fuel are each up more than 50%. Those cost increases well outpace consumer inflation, which advanced 7.5% in the past year, the <a class=\"icon none\" href=\"https:\/\/www.wsj.com\/articles\/us-inflation-consumer-price-index-january-2022-11644452274?mod=article_inline\" target=\"_blank\" rel=\"noopener\">fastest rate in four decades<\/a>.<\/p>\n<p>Some in the industry hope technological advancements, as well as new employment opportunities generated by the federal infrastructure spending, could mitigate the labor shortage. But Ken Simonson, the chief economist for the Associated General Contractors of America, said greater flexibility and rising wages at other jobs may limit the draw of new workers into the construction jobs, where workers need to be on site.<\/p>\n<\/blockquote>\n<p>\u201cTom Malinowski must be living in an alternate universe,\u201d said Congressional Leadership Fund\u00a0Press Secretary Cally Perkins. \u201cIf Malinowski thinks the economy is \u2018booming,\u2019 then clearly he\u2019s so out of touch with the working class that he has no business representing them in Congress.\u201d<\/p>\n<p>There are some parts of the economy that have shown resilience despite inflation. Consumer spending was stronger than expected in January. Unemployment is very low, although still above the level of the prepandemic Trump era. The travel and leisure sectors are reviving. The economy grew 5.7 percent last year and is expected to grow another four percent this year.<\/p>\n<p><i>Jacob Bliss is a reporter for Breitbart News. You can follow him on <\/i><a href=\"https:\/\/twitter.com\/jacobmbliss\"><i>Twitter<\/i><\/a><i>.<\/i><\/p>\n","protected":false},"excerpt":{"rendered":"<p>CLAIM: Vulnerable Democrat Rep. Tom Malinowski (NJ),\u00a0during a recent town hall, was caught on camera saying the \u201ceconomy is incredibly strong\u201d and that it is \u201cbooming.\u201d He also noted that<\/p>\n","protected":false},"author":1,"featured_media":2315279,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"","fifu_image_alt":"","footnotes":""},"categories":[],"tags":[],"class_list":["post-1343909","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry"],"_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1343909","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=1343909"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1343909\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/2315279"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=1343909"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=1343909"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=1343909"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}