Fallon: Reckless Bidenomics Spending Put the Economy on an Unsustainable Track

WASHINGTON—Subcommittee on Economic Growth, Energy Policy, and Regulatory Affairs Chairman Pat Fallon (R-Texas.) opened a subcommittee hearing today titled “Bidenomics: A Perfect Storm of Spending, Debt, and Inflation” by discussing the failures of President Biden’s “Bidenomics” policies. President Biden has denied the damage his Bidenomics blueprint of reckless spending, anti-American energy policies, and sweeping regulations have caused for the economy and American households’ budgets. Chairman Fallon emphasized the need for transparency about how Bidenomics has damaged our fiscal and national security and what we must do instead to get the economy growing again.

Below are Subcommittee Chairman Fallon’s remarks as prepared for delivery.

Today’s hearing is an opportunity to discuss an issue every household in America is familiar with—the clear failure of “Bidenomics” and the crisis caused through the Biden Administration’s reckless spending.

Joe Biden likes to say that “Bidenomics is just another way of saying, ‘Restoring the American Dream.”

But just last week, the Consumer Price Index showed prices have risen 17.4% since Joe Biden took office. That means 26 months of consumers watching their paychecks disappear before their very eyes due to the rising cost of living.

Worse yet, mortgage rates have nearly doubled since Joe Biden took office, making it much harder for Americans to buy a new home.

That is not the American Dream.

Joe Biden likes to say that Bidenomics is about “building from the middle out and the bottom up.”

But those hurt most by the rising prices are low-income households and seniors relying on Social Security for their monthly retirement income.

Wage growth has fallen behind the pace of inflation in 20 of the past 22 months, and most Americans are now unable to pay for a surprise expense of $400 without going into debt.

That is not building from the middle out and the bottom up.

Joe Biden likes to remind us he promised not to raise taxes on anyone earning less than $400,000 a year.  But as of June 2023, the average worker was paying an “inflation tax” of 13.5%—effectively a second federal income tax.

The truth is, Bidenomics has been a disaster, and the American people know it.

A recent poll found that 80 percent of Americans credit Joe Biden’s policies for the current state of the economy and 70 percent agreed that their incomes were not keeping pace with inflation.

Our current economic track is nothing short of unsustainable, yet the Biden Administration could not be less concerned. 

In fact, Joe Biden considers the current environment a huge success—proudly taking credit for every failed business that couldn’t stay afloat under his crushing regulatory regime, or the parent forced to pay bills with a credit card and going into debt because their wages were not keeping pace with inflation.

According to Joe Biden, we’re supposed to believe that we’re actually better off than we were at the start of his administration.  But the facts tell a very different story.

The pain households are experiencing can be tied directly back to disastrous policies pushed by this Administration. 

In the early days of the COVID-19 pandemic, emergency spending made sense—the country was thrown into a tailspin and we had to ensure that our entire economy did not capsize.

However, the Biden Administration plowed forward maintaining these “wartime” spending levels long after that spending was necessary.  It’s been said, “Never let a good crisis go to waste,” and the Administration could not have taken this more literally.

From the “American Rescue Plan” to the “Inflation Reduction Act,” the Biden Administration has wasted no time throwing mind-boggling amounts of money at various crises of their choosing with seemingly no regard for the consequences.

The Biden Administration apparently doesn’t care if a gallon of milk costs $6, so long as they can force everyone to purchase an electric vehicle that costs more than the yearly median household income.

Decades ago, Republicans banded together through the “Contract with America” to bring about some of the most impactful economic reforms seen in generations.

By combining a series of targeted, fiscally conservative policies into one unified agenda, House Republicans paved the way for Americans everywhere to prosper.

We have already seen the blueprint for what works, and we can achieve that success again.

We have also seen the blueprint for what does not work, thanks to Bidenomics and the anti-growth policies of this Administration.

I thank our witnesses for appearing before the Committee today and I look forward to a thoughtful discussion.