The second key failure also belongs to the administration’s early days. In February 2021, when congressional Democrats were preparing a $1.9 trillion stimulus, a group of Republican senators counteroffered with a roughly $600 billion proposal. Flush with overconfidence, the White House spurned the offer and pushed three times as much money into the economy on a party-line vote.
What followed was what a few dissenting center-left economists, led by Larry Summers, had predicted: the worst acceleration of inflation in decades, almost certainly exacerbated by the sheer scale of the relief bill. Whereas had Biden taken the Republicans up on their proposal or even simply counteroffered and begun negotiations, he could have started his administration off on the bipartisan footing his campaign had promised while hedging against the inflationary dangers that ultimately arrived.By Ross Douthat
Opinion Columnist, NYT 10-22-22
Was there ever any doubt that deficit funded over spending by government leads to inflation, that ultimately if you spend money you don’t have, the actual cost is much higher?
Politicians take action to make themselves attractive to voters or motivated by naive, shortsighted thinking that ignores consequences. Right now the political left is in charge, but the far right does the same.