Joe Biden is more responsible for high inflation than for abundant jobs
The main effect of the president’s economic policies has been to boost prices
The way Joe Biden tells it, the only part of his economic record that really matters is jobs. America’s roaring labour market beat expectations again in April. The unemployment rate is lower than in any year since 1969. The share of 15- to 64-year-olds in employment has surpassed its pre-pandemic peak, which was itself the highest seen since 2007. Mr Biden likes to tell people that his presidency, which began in the midst of a rapid recovery from covid lockdowns, has coincided with more monthly job creation, on average, than any other in history. Provided America avoids a debt-ceiling crisis, and the associated halt to federal spending and probable lay-offs, the booming labour market looks like a ticket to re-election in 2024.
Unfortunately for Mr Biden, however, another part of his record tells a less flattering story. High inflation continues to imperil the economy and vex voters. And placing his record in a global context reveals that he is more responsible for surging prices than he is for abundant jobs.
This article appeared in the Leaders section of the print edition under the headline "A bad balance"
Leaders May 13th 2023
From the May 13th 2023 edition
Discover stories from this section and more in the list of contents
Explore the editionMore from Leaders
Why South Africans are fed up after 30 years of democracy
After a bright start the ANC has proved incapable of governing for the whole country
How disinformation works—and how to counter it
More co-ordination is needed, and better access to data
America’s reckless borrowing is a danger to its economy—and the world’s
Without good luck or a painful adjustment, the only way out will be to let inflation rip