Biden's Economic Achievements: Lower Inflation, Job Growth, and Future Plans

President Joe Biden will highlight the reduction in inflation and employment growth, following the Federal Reserve's interest rate cut. Despite predictions of a needed recession to lower inflation, Biden's policies have created 16 million jobs. However, polls indicate American concerns about the economy remain high.

President Joe Biden is set to highlight the recent economic accomplishments of his administration, including reductions in inflation and an increase in employment, at an event hosted by the Economic Club of Washington. This comes shortly after the Federal Reserve announced a cut in interest rates, a move aimed at bolstering the economy while lowering costs for American families. Biden's chief of staff, Jeff Zients, emphasized the administration's success in tackling inflation exacerbated by the COVID-19 pandemic and geopolitical tensions, specifically citing Russia's invasion of Ukraine.

Contrary to economists' predictions of a recession being necessary to curb inflation, Biden's initiatives—ranging from expanding domestic manufacturing to investing in clean energy—have resulted in the creation of 16 million jobs and increased wages. Despite these strides, public sentiment remains cautious, with polls showing a near tie between Vice President Kamala Harris and former President Donald Trump in the run-up to the November 5 presidential election. Trump supporters particularly believe he would handle inflation more effectively.

Addressing these concerns, Biden and Harris are committed to further lowering living costs and driving economic growth. Fed Chair Jerome Powell noted that these recent actions are preemptive measures to ensure continued economic stability, even as the unemployment rate edges slightly higher. As inflation recedes to pre-pandemic levels, rate reductions are projected to save homebuyers and car buyers significantly over loan terms. However, additional efforts are needed to address housing costs and childcare services while maintaining working-class gains. The White House remains vigilant about geopolitical risks but sees no immediate threats to the economic outlook.

(With inputs from agencies.)