{"id":2328064,"date":"2024-08-21T01:18:01","date_gmt":"2024-08-21T05:18:01","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/kamalas-economic-plans-would-put-bidenflation-into-overdrive\/"},"modified":"2024-08-21T01:24:37","modified_gmt":"2024-08-21T05:24:37","slug":"kamalas-economic-plans-would-put-bidenflation-into-overdrive","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/kamalas-economic-plans-would-put-bidenflation-into-overdrive\/","title":{"rendered":"Kamala\u2019s Economic Plans Would Put &#8216;Bidenflation&#8217; Into Overdrive"},"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\">16<\/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%2Fkamalas-economic-plans-would-put-bidenflation-into-overdrive%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=2328064&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--><p>The article discusses Kamala\u200c Harris&#8217;s economic proposals\u2063 and critiques them through the lens of Ronald Reagan&#8217;s well-known views on government intervention in \u200bthe economy. It outlines how Harris&#8217;s plan involves significant government spending, funded by increased taxes and strict regulations, which the author argues \u2062could exacerbate \u200binflation instead\u2062 of alleviating it. The Center for\u200d a Responsible Federal Budget estimates her proposals could cost up to $2 trillion over the next decade, with \u200bspecific initiatives including expanded child subsidies, increased credits for low-income workers, and additional\u2064 funding for affordable \u200chousing. The \u2063article warns that these policies mirror past failed\u200d interventions and may lead \u200bto\u2064 drastic inflation due to excessive\u2063 government spending, referencing the \u2062subprime mortgage crisis as a historical parallel. \u2063it critiques Harris&#8217;s proposal for a federal ban on price \u200dgouging, positioning \u2064it \u2062as \u200can example of economic overreach that could be seen as akin to price\u200d controls, further emphasizing the author&#8217;s concern about the implications \u2064of her economic agenda.  <\/p>\n<p class=\"readmore\">\n    <button onclick=\"showReadMore()\" id=\"readmorebtn\">Read more&#8230;<\/button>\n<\/p>\n<hr id=\"line\">\n<span id=\"more\"><\/p>\n<div>\n<p>Anyone who thinks Ronald Reagan remains irrelevant four decades after his last election victory hasn&rsquo;t read Kamala Harris&rsquo; economic proposals. Reagan&rsquo;s <a href=\"https:\/\/www.goodreads.com\/quotes\/92283-government-s-view-of-the-economy-could-be-summed-up-in\" target=\"_blank\" rel=\"noreferrer noopener\">classic quote<\/a> demonstrates how well he knew the leftist mindset:&nbsp;<\/p>\n<blockquote>\n<p>Government&rsquo;s view of the economy could be summed up in a few short phrases: If it moves, tax it. If it keeps moving, regulate it. And if it stops moving, subsidize it.<\/p>\n<\/blockquote>\n<p>This describes the Harris plan in a nutshell: more spending, funded by higher taxes, coupled with heavy doses of regulation. Rather than reducing inflation, her policy proposals could well cause a new round of price spikes for struggling American families.<\/p>\n<h2>Massive Spending&nbsp;<\/h2>\n<p>Upon reviewing the proposals the Harris campaign issued in a <a href=\"https:\/\/mailchi.mp\/press.kamalaharris.com\/vice-president-harris-lays-out-agenda-to-lower-costs-for-american-families\" target=\"_blank\" rel=\"noreferrer noopener\">press release<\/a> late last week, the Center for a Responsible Federal Budget (CRFB) <a href=\"https:\/\/www.crfb.org\/blogs\/kamala-harris-agenda-lower-costs-american-families\" target=\"_blank\" rel=\"noreferrer noopener\">estimated<\/a> they could spend $2 trillion in the coming decade and more if all were made permanent (as Democrats will certainly want to do). Among the proposals:<\/p>\n<ul>\n<li>$1.1 trillion to reinstitute the Biden &ldquo;stimulus&rdquo; system of child subsidy payments, a stopping point on the way to a <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/elon-musk-i-got-a-covid-test-four-times-in-one-day-two-came-back-negative-two-came-back-positive-the-daily-wire\/\" title=\"Elon Musk: I Got A COVID Test Four Times In One Day. \u2018Two Came Back Negative, Two Came Back Positive.\u2019 | The Daily Wire\">universal basic income<\/a> (which Harris has also supported);<\/li>\n<li>$100 billion to further expand the child subsidy to $6,000 for newborns;<\/li>\n<li>$400 billion to <a href=\"https:\/\/thefederalist.com\/2024\/07\/15\/bidens-health-insurance-plan-would-grow-the-deficit-by-335-billion-in-10-years\/\" target=\"_blank\" rel=\"noreferrer noopener\">extend the Obamacare premium subsidies<\/a> that have <a href=\"https:\/\/paragoninstitute.org\/wp-content\/uploads\/2024\/06\/The-Great-Obamacare-Enrollment-Fraud_FOR_RELEASE_V1.pdf\" target=\"_blank\" rel=\"noreferrer noopener\">encouraged fraud<\/a> and give <a href=\"https:\/\/thefederalist.com\/2021\/03\/02\/how-democrats-covid-bill-gives-welfare-to-the-wealthy\/\" target=\"_blank\" rel=\"noreferrer noopener\">tax breaks to wealthy individuals<\/a>;<\/li>\n<li>$150 billion to expand the <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/amazon-wants-15-federal-minimum-wage-reports-small-businesses-would-be-hardest-hit\/\" title=\"Amazon Wants  Federal Minimum Wage; Reports: Small Businesses Would Be Hardest Hit\">earned income tax credit<\/a> to workers without dependents;<\/li>\n<li>$100 billion for a $25,000 first-time homebuyer credit for four years; and<\/li>\n<li>Another $100 billion for &ldquo;affordable housing policies&rdquo; for four years.<\/li>\n<\/ul>\n<p>Harris&rsquo; campaign told CRFB that it supported all the tax increases included in Joe Biden&rsquo;s budget, consistent with her <a href=\"https:\/\/www.politico.com\/live-updates\/2024\/08\/19\/dnc-live-updates-coverage\/kamala-harris-policy-corporate-tax-rate-00174806\" target=\"_blank\" rel=\"noreferrer noopener\">endorsement Monday<\/a> of Biden&rsquo;s proposal to increase the <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/bidens-commerce-secretary-claims-no-shred-of-evidence-that-trump-tax-cuts-increased-growth-and-productivity\/\" title=\"Biden\u2019s Commerce Secretary Claims No \u2018Shred Of Evidence\u2019 That Trump Tax Cuts \u2018Increased Growth And Productivity\u2019\">corporate income tax rate<\/a> to 28 percent (up from the current 21 percent). <\/p>\n<p>She has also endorsed Biden&rsquo;s expansion of government <a href=\"https:\/\/thefederalist.com\/2024\/08\/16\/everything-the-biden-harris-administration-doesnt-want-you-to-know-about-its-drug-price-controls\/\" target=\"_blank\" rel=\"noreferrer noopener\">price controls on prescription drugs<\/a> &mdash; creating more Medicare &ldquo;savings&rdquo; that Democrats can <a href=\"https:\/\/www.wsj.com\/articles\/democrats-use-medicare-as-a-piggy-bank-11616624520\" target=\"_blank\" rel=\"noreferrer noopener\">raid to pay for other spending<\/a>. But several of her spending proposals go beyond Biden&rsquo;s plans, leaving a black hole even larger than the one in <a href=\"https:\/\/thefederalist.com\/2024\/03\/27\/bidens-2025-budget-spends-too-much-money-on-all-the-wrong-things\/\" target=\"_blank\" rel=\"noreferrer noopener\">Biden&rsquo;s own budget<\/a>.<\/p>\n<h2><strong>Subsidies Driving Inflation<\/strong><\/h2>\n<p>Beyond the obvious deficit effect all this spending will have, the gusher of federal money designed to make health care and housing &ldquo;affordable&rdquo; will do anything but. The most ironic quote in Harris&rsquo; plan discusses &ldquo;doubling down&rdquo; on the current administration&rsquo;s housing innovation fund. On that proposal, like so many others, Harris wants to double down on failed policies &mdash; government throwing too much of other people&rsquo;s money at too few goods &mdash; that represent the perfect recipe for inflation.<\/p>\n<p>The housing proposals in particular epitomize the phenomenon of one bad government intervention begetting another (and another, on and on). The combination of cheap money from the Federal Reserve and politicians&rsquo; desire to promote &ldquo;affordable&rdquo; options &mdash; the same desire that motivates Harris&rsquo; plans &mdash; led to a lowering of credit standards that resulted in the subprime mortgage crisis and the Great Recession.<\/p>\n<p>In the years since, the problems for would-be homeowners have only gotten worse. Mortgage rates have risen in response to the rapid rise of inflation, diminishing affordability still further. Of course, the trillions of government spending helped spark the inflation that required the <a href=\"https:\/\/thefederalist.com\/2021\/11\/17\/how-the-federal-reserve-keeps-stoking-inflation\/\" target=\"_blank\" rel=\"noreferrer noopener\">Federal Reserve<\/a> (belatedly) to raise interest rates in the first place.<\/p>\n<p>Given this dynamic, one would think that Harris and her colleagues would change course, consistent with the parable that there is no educational value in the second kick of a mule. Unfortunately, however, they have not learned their lesson, meaning the American people will have to take it in the shins yet again.<\/p>\n<h2><strong>Communist Kamala?<\/strong><\/h2>\n<p>As if the trillions in myriad new spending proposals didn&rsquo;t constitute bad enough policy, Harris&rsquo; <em>coup de grace<\/em> came via a proposal to &ldquo;advance the first-ever federal ban on price gouging on food and groceries.&rdquo; As The Washington Post&rsquo;s left-of-center columnist Catherine Rampell <a href=\"https:\/\/archive.is\/wzutv\" target=\"_blank\" rel=\"noreferrer noopener\">criticized the proposal<\/a>, &ldquo;If your opponent claims you&rsquo;re a &lsquo;communist,&rsquo; maybe don&rsquo;t start with an economic agenda that can (accurately) be labeled as federal price controls&rdquo; (parentheses original).&nbsp;<\/p>\n<p>After asking Harris&rsquo; campaign for specifics of the proposal and receiving no response, Rampell discussed similar legislation from Sen. Elizabeth Warren, D-Mass., and outlined its problems:<\/p>\n<blockquote>\n<p>It&rsquo;s hard to exaggerate how bad this policy is. It is, in all but name, a sweeping set of <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/mark-levin-uses-6th-grad-econ-test-to-show-harris-why-her-inflation-plan-wont-work\/\" title=\"Mark Levin Uses 6th Grad Econ Test to Show Harris Why Her Inflation Plan Won&#039;t Work\">government-enforced price controls<\/a> across every industry, not only food. Supply and demand would no longer determine prices or profit levels. Far-off Washington bureaucrats would. The [Federal Trade Commission] would be able to tell, say, a Kroger in Ohio the acceptable price it can charge for milk.<\/p>\n<\/blockquote>\n<p>As a health policy analyst, I can find an obvious analogy: A similar strategy of micromanaging thousands of prices within an economic system has not exactly kept health-care costs in check. Instead, Medicare&rsquo;s combination of regulating prices and subsidizing costs has led to soaring spending, because doctors and hospitals come up with various ways to circumvent the price controls, generally by performing more procedures or services.<\/p>\n<p>To end where we began, the Great Communicator noted that the <a href=\"https:\/\/www.youtube.com\/watch?v=xhYJS80MgYA\" target=\"_blank\" rel=\"noreferrer noopener\">nine most terrifying words<\/a> in the English language are, &ldquo;I&rsquo;m from the government, and I&rsquo;m here to help.&rdquo; Kamala Harris&rsquo; economic policies contain more than nine words but should equally terrify those working families whom Harris claims she will &ldquo;help.&rdquo;<\/p>\n<hr>\n<p>      Chris Jacobs is founder and CEO of Juniper Research Group, a <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/game-show-judges-assess-players-on-their-unknown-knowledge\/\" title=\"Game Show Judges Assess Players on Their Unknown Knowledge\">policy consulting firm based<\/a> in Washington, and author of the book &#8220;<a href=\"https:\/\/www.amazon.com\/dp\/1645720020\">The Case Against Single Payer<\/a>.&#8221; He appeared in the 1995 &#8220;Jeopardy!&#8221; Teen Tournament and is on Twitter: <a href=\"http:\/\/twitter.com\/chrisjacobsHC\">@chrisjacobsHC<\/a>.<\/p>\n<\/p><\/div>\n<p><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Anyone who believes Ronald Reagan is no longer relevant four decades after his last election win clearly hasn&#8217;t examined Kamala Harris&#8217; economic proposals. Reagan&#8217;s famous quote illustrates his understanding of the leftist perspective: Government views the economy in simple terms: If it moves, tax it. If it continues to move, regulate it. And if it stops moving, subsidize it. This succinctly captures Harris&#8217; plan: increased spending funded by higher taxes and extensive regulation. Instead of alleviating inflation, her policy suggestions could potentially trigger another wave of price increases for struggling American families.<\/p>\n<p>**Massive Spending**<\/p>\n<p>After reviewing the proposals released by the Harris campaign last week, the Center for a Responsible Federal Budget (CRFB) estimated that they could lead to $2 trillion in spending over the next decade\u2014and even more if made permanent (which Democrats are likely to pursue). Key components include:<\/p>\n<p>&#8211; $1.1 trillion to reinstate Biden\u2019s \u201cstimulus\u201d child subsidy payments as a step toward universal basic income (which Harris has also supported);<br \/>\n&#8211; $100 billion to increase child subsidies to $6,000 for newborns;<br \/>\n&#8211; $400 billion to extend Obamacare premium subsidies that have facilitated fraud and provided tax breaks for wealthy individuals;<br \/>\n&#8211; $150 billion to expand earned income tax credits for workers without dependents;<br \/>\n&#8211; $100 billion allocated for a first-time homebuyer credit of $25,000 over four years; and<br \/>\n&#8211; Another $100 billion dedicated to \u201caffordable housing policies\u201d over four years.<\/p>\n<p>Harris\u2019 campaign informed CRFB that she supports all tax increases outlined in Joe Biden\u2019s budget, aligning with her recent endorsement of Biden\u2019s proposal to raise the corporate income tax rate from 21% to 28%. She has also backed Biden&#8217;s expansion of government price controls on prescription drugs\u2014creating additional Medicare &#8220;savings&#8221; that Democrats can use for other expenditures. However, several of her spending initiatives exceed those proposed by Biden, resulting in an even larger fiscal gap than what exists in his budget.<\/p>\n<p>**Subsidies Driving Inflation**<\/p>\n<p>In addition to exacerbating deficits through this level of spending, the influx of federal funds aimed at making healthcare and housing &#8220;affordable&#8221; will likely have the opposite effect. The most ironic aspect of Harris\u2019 plan is her intention to &#8220;double down&#8221; on existing housing innovation funds from this administration\u2014a strategy rooted in failed policies where excessive government funding leads only a few goods available\u2014an ideal recipe for inflation.<\/p>\n<p>The housing initiatives particularly illustrate how one poor government intervention leads inevitably into another (and then another). The combination of low-interest rates from the Federal Reserve and politicians\u2019 push towards \u201caffordable\u201d options\u2014similar motivations behind Harris\u2019 plans\u2014resulted in relaxed credit standards contributing directly to both subprime mortgage crises and subsequent economic downturns like the Great Recession.<\/p>\n<p>Since then, challenges facing potential homeowners have only intensified as rising mortgage rates follow rapidly increasing inflation further diminishing affordability. Of course, massive government expenditure played a role in igniting inflation which prompted necessary interest rate hikes from the Federal Reserve much later than needed.<\/p>\n<p>Given these circumstances one might expect Harris and her colleagues would reconsider their approach; however they seem unwilling or unable learn from past mistakes leaving American families vulnerable once again.<\/p>\n<p>**Communist Kamala?**<\/p>\n<p>As if trillions worth new spending proposals weren\u2019t problematic enough already; Harris introduced an initiative aimed at implementing \u201cthe first-ever federal ban on price gouging on food and groceries.\u201d As noted by Catherine Rampell\u2014a columnist with The Washington Post who leans left\u2014the proposal raises eyebrows given its resemblance federal price controls: \u201cIf your opponent claims you\u2019re a \u2018communist,\u2019 maybe don\u2019t start with an economic agenda that can (accurately) be labeled as federal price controls.\u201d<\/p>\n<p>After seeking clarification about specifics regarding this proposal but receiving no response from Harris\u2019 campaign Rampell compared similar legislation put forth by Senator Elizabeth Warren outlining its flaws:<\/p>\n<p>\u201cIt\u2019s hard exaggerate how bad this policy is&#8230; It amounts essentially sweeping set enforced across every industry\u2014not just food&#8230; Supply demand would no longer dictate prices or profits levels but rather distant bureaucrats within Washington.\u201d<\/p>\n<p>As someone familiar with health policy I see clear parallels here: A similar approach micromanaging numerous prices within any economy hasn\u2019t effectively controlled healthcare costs either\u2014instead Medicare\u2019s mix regulating prices while subsidizing expenses led soaring expenditures since providers find ways circumvent such restrictions often performing more procedures services instead.<\/p>\n<p>To conclude where we began\u2014the Great Communicator famously stated nine most terrifying words English language are: \u2018I\u2019m from government &amp; I\u2019m here help.\u2019 While Kamala Harrises economic policies may contain more than nine words\u2014they should equally terrify working families whom she claims intends assist<\/p>\n","protected":false},"author":521,"featured_media":2328065,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"https:\/\/thefederalist.com\/wp-content\/uploads\/2024\/08\/Kamala-Harris-Onstage.jpg","fifu_image_alt":"","footnotes":""},"categories":[546],"tags":[11402,38772,5708,32438,5894],"class_list":["post-2328064","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-the-federalist","tag-bidenflation","tag-economic-plans","tag-inflation","tag-kamala-harris","tag-politics"],"fifu_image_url":"https:\/\/thefederalist.com\/wp-content\/uploads\/2024\/08\/Kamala-Harris-Onstage.jpg","_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2328064","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\/521"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=2328064"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2328064\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/2328065"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=2328064"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=2328064"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=2328064"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}