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The "Inflation Reduction Act" Is Only Going To Make Inflation Worse

inflation reduction act fail

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So many bills have the opposite result of what their title is. Remember the Patriot Act? Not very patriotic. Affordable Care Act? Not very affordable. And now we have the Inflation Reduction Act. And guess what, it’s not going to reduce inflation! Actually there’s a 100% chance that it will increase inflation or at the very least slow its reduction in a big way and I’ll tell you why right now. The 2 main objectives of this act are to spend money and raise taxes (a recipe for inflation). 

It’s actually nothing more than a reduced version of the failed build back better bill, which was essentially the green new deal in disguise. It's the largest investment in environmental justice and climate action in American history. It focuses on further cuts to emissions which will kill more jobs and manufacturing. And strengthens the war on gas and oil that is going to raise your energy costs even more. Right now the rough draft is $433 Billion of new spending, yes almost half a Trillion and I can almost guarantee that by time it goes through the House, it will be more around a full $1 Trillion. It also implements a 15% minimum corporate tax hike and closes opportunities for business write offs while giving billions of dollars to the IRS so they can punish the people who dare try to keep their own hard earned money. This alone will cause companies to raise prices.

Now the cause for the current inflation is way, way too many dollars chasing not enough goods. The stimulus and spending devalued our currency and the shutdowns smacked just about every industry in the face! But how do you get more goods in an economy? Easy, you expand your production. Ho=-09w do you expand production? Easy, businesses need to invest their profits to create more or new products while hiring more employees. This bill is stealing those profits! They are going to tax the producers so we get less goods while simultaneously spending more and more money. This in effect further decreases supply, and increases demand, which is the exact opposite of what we want to do and is the recipe for more inflation. 

They think that raising taxes on the rich is going to bring in enough revenue to cover the costs of this bill. It’s not. Aside from climate tyranny and tax hikes, the only other thing this bill does is expand Obamacare. Now if you remember, the original ticket on Obama care was under $1T but after 10 years it costs over 2.5T. And you know the exact same thing is going to happen with this Inflation Reduction Act

They could just change the definition of inflation like they tried with recession, then boom the problem is solved. But actually they have changed the definition of inflation over time, at least how it’s measure, because if the standards used from the 70s were still used today, inflation would be near 20%, over double what is being reported now.

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