[ad_1]
A Illinois Democrat said economists say “a little inflation” is a “good thing” as prices rise across the country.
Rep. Sean Casten, D-Ill., Made the inflation statement during a speech at city hall in Palatine Village, Illinois, on Saturday.
Casten said that economists generally agree that a small amount of inflation – the devaluation of the dollar by rising prices – is a boon to the economy.
FOX NEWS SURVEY: 83% worried about inflation, majority say benefits hurt the economy
“There is also, frankly, I think there is a general consensus among economists that a little inflation would actually be a good thing,” the lawmaker added. “Because the Federal Reserve’s mandate is to keep interest rates manageable but not zero and inflation manageable but not excessive.”
A recent Fox News poll found that 83% of Americans are “extremely” or “very” concerned about inflation, with inflation being a top concern for Democrats and Republicans.
Casten said the Federal Reserve had “cut interest rates” several times since the 2008 recession and “inflation has not risen.”
“So they had to keep trying to figure out ‘how do I make sure’ because people would like to get a little more money next year, right? inflation, ”Casten said. “How do you make sure you have, in some way, an acceptable level of inflation?” “
The Democratic congressman said the “result” was that the Federal Reserve bought “billions of dollars in government securities” to inject funds into the economy.
“So the Fed actually has a lot of very unconventional ammunition that it would like to unload, but it can’t until it sees inflation pick up a bit,” Casten said, calling inflation that the country is experiencing “transitory inflation”.
National Republican Congressional Committee (NRCC) spokesman Mike Berg told Fox News on Monday it was strange to hear the congressman denounce Americans for paying a higher price for goods and services to everyone levels.
CLICK HERE TO GET THE FOX NEWS APP
“It’s weird to hear Sean Casten praise the fact that Americans pay higher prices for everyday goods and services,” Berg said. “House Democrats are completely out of touch with middle class Americans.”
The country is currently experiencing rising inflation as demand increases and supply chain issues abound.
Casten’s office did not immediately respond to Fox News’ request for comment.
[ad_2]
Source link