While the Democrats spent almost the last two years struggling to pass even the simplest of legislation, it appears they finally came together to help fight back against rising inflation. Much like the soaring gas prices and food shortages, inflation continues to hurt the average American citizen who sees nothing but rising costs around them. Hoping to ease some of the hardship, the Biden administration and Democrats passed the Inflation Reduction Act. The act spends over $485 billion to fight the growing crisis. At the same time, the act raises nearly $800 billion in taxes on Americans and corporations over the next ten years.
On Sunday, White House Press Secretary Karine Jean-Pierre appeared on “This Week” with ABC’s Jonathan Karl. Wanting some answers on the Inflation Reduction Act, Karl noted a new survey and how it showed most Americans believed the economy plummeted under President Joe Biden. Speaking on the new act, he added, “Isn’t it almost Orwellian? How can you call it the Inflation Reduction Act when the nonpartisan experts say it’s not going to bring inflation down?”
Falling back on the usual rhetoric about corporations not paying their taxes, Karine Jean-Pierre answered, “I appreciate the question. We’ve actually addressed this with the CBO. The top line number, there’s more in there that shows that it will have the money…It’s making sure that billionaires in corporate America are paying their fair share, making sure that the tax code is a little bit more fair. So when you do that, when you put it in its totality, you will see it will bring down the deficit, which will help fight inflation.”
The Inflation Reduction Act passed thanks to two moderate Democrats, Senator Joe Manchin, and Senator Kyrsten Sinema. Both Democrats have been incredibly hesitant when it comes to backing the Biden administration and many of their ideas. The New York Times reported, “To win Ms. Sinema’s support, Democratic leaders agreed to drop a $14 billion tax increase on some wealthy hedge fund managers and private equity executives that she had opposed, change the structure of a 15 percent minimum tax on corporations, and include drought money to benefit Arizona. Ms. Sinema said she was ready to move forward with the package, provided that the Senate’s top rules official signed off on it.”
As for the Democrat who helped push the act, Senate Majority Leader Chuck Schumer explained, “The agreement preserves the major components of the Inflation Reduction Act, including reducing prescription drug costs, fighting climate change, closing tax loopholes exploited by big corporations and the wealthy, and reducing the deficit.”