Forty-five percent of Americans – almost half – believe they are worse off financially under the Biden administration's economic policies compared to a year ago, according to a recent Rasmussen Reports survey.
The survey that was conducted just after the Christmas season polled 1,102 participants. It revealed that 45 percent feel financially strained compared to a year ago, while only 23 percent believe they are better off. Moreover, 29 percent of respondents feel their financial situation has remained the same over the past year despite the Biden administration's efforts to get the public on board the benefits of its economic policies.
The Rasmussen poll also highlighted divisions along the lines of politics and race when it comes to economic sentiments. Thirty-nine percent of Democrats are more likely to believe they are better off economically, compared to 18 percent of Republicans and 13 percent of unaffiliated respondents. Forty-five percent of White respondents say they feel worse off, compared to 32 percent of Black respondents and 55 percent for other minorities.
According to critics, "Bidenflation" is one of the major contributing factors to this economic downturn. Inflation has surged under President Joe Biden, with consumer prices rising by 3.1 percent in the last 12 months. Critics also pointed out that consumer prices have soared by 16.8 percent since the chief executive assumed office in 2021.
Average hourly wages have increased by 14.3 percent since then, but still fall two-and-a-half points below the inflation rate. The increase in hourly wages has not been sufficient to keep pace with rising prices. Therefore, the combination of rising inflation and stagnant wages has left a significant portion of the population struggling to keep up.
Expect more FOOD INFLATION and FOOD SHORTAGES in 2024
Back in September 2023, Susan Duclos of All News Pipeline disclosed that more food shortages and price hikes are coming before the end of that year. This is due to the pressure that Biden's economic policies have on food prices and food production.
"The economy is in the dump, and no matter how many times the media or Biden tells us how great we are doing, Americans are going to judge that for themselves by what they see in their wallets, their bank accounts and what the bill is every time they shop for food, appliances, cars, homes or anything else they may need to purchase," she wrote.
Duclos contends that even if inflation were to reach zero, prices would not decrease, emphasizing the need for negative inflation to witness any significant relief, which she deems unlikely. The latest data reveals that the year-over-year inflation rate has slowed to 4.9 percent in July 2023, marking a decrease from the 5.7 percent in June of that same year. However, this remains more than double the Federal Reserve's target of two percent.
Frozen vegetables experienced the most substantial surge with prices soaring by 17.1 percent annually, followed by an 11.3 percent increase in margarine prices. Cereals and bakery products have become seven percent more expensive, while dairy prices rose by 1.3 percent. These hikes in essential food items contribute to the increasing financial burden on American households.
Data indicates that Americans now spend 13.4 cents on food for every dollar in consumer spending, making it the second-largest expense after housing, which accounts for 34.7 cents per dollar.
Mark Zandi, the chief economist of Moody's Analytics, highlighted the economic repercussions of persistently high inflation. "Due to high inflation, the typical household spent $202 more in July than they did a year ago to buy the same goods and services and they spent $709 more than they did two years ago," he said.
The U.S. Department of Agriculture estimated back then that food prices would be, on average, 5.8 percent higher than in 2022 by the end of 2023. Meanwhile, projections for this year suggest a continuation of rising food prices, with an estimated increase of 2.4 percent.
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