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A letter sent by 230 economists to the House and Senate leadership argues that infrastructure minimization act Contrary to claims by President Biden and Democrats, inflation is expected to contribute to skyrocketing and burden the US economy.

Economists previously wrote in a letter obtained by Fox News Digital that the US economy is at a “dangerous crossroads” and that the “inappropriately named ‘Inflation Reduction Act of 2022’ will do nothing and will instead perpetuate the same fiscal policy errors that have occurred.” It has helped in accelerating the current troubled economic environment.”

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Sen. Joe Manchin, DW.VA, announced last week that he had reached an agreement with Senate Majority Leader Chuck Schumer, D.N.Y. $739 billion reconciliation package After more than a year of talks between Democrats.

Economic experts point to $433 in proposed government spending, which experts argue would “create immediate inflationary pressures by boosting demand, while supply-side tax increases by discouraging investment and draining much-needed resources to the private sector.” would disrupt the supply.”

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They also write that “of particular concern” is the corporate minimum tax which they say will undermine efforts to restore a functioning supply chain.

In addition, the bill’s prescription drug provisions would “implement price controls that threaten health care innovation, creating a human health toll that will add to the financial woes Americans are already experiencing.”

Some notable signatories include Nobel laureate Vernon Smith, former chairman of the Economic Advisory Council Kevin Hassett, former director of the Office of Management and Budget Jim Miller, and former Federal Reserve Board chairman Robert Heller from 1986–1989.

In addition, professors from the University of Chicago, Princeton University, Duke University, the University of Virginia, Columbia University and the University of Notre Dame were listed in the August 3 letter.

Experts conclude that although they agree with an “urgent” need to address inflation, Manchin’s bill is a “misleading label” applied to legislation that would achieve “the opposite effect.”

Biden signs PPP expansion act of 2021

The letter was sent to Schumer, Senate Minority Leader Mitch McConnell, R-Ky., House Speaker Nancy Pelosi, D-Cal., and House Minority Leader Kevin McCarthy, R-California.

White House slams Republicans for trying to block passage of $739B ‘anti-inflation plan’

Schumer called the Inflation Reduction Act an immediate solution to inflation, which hit a new 40-year high last month.

“The Inflation Reduction Act will reduce inflation, lower the cost of prescription drugs, benefiting loopholes long exploited by big businesses,” Schumer said on the Senate floor on Thursday.

simultaneously, Biden urges Congress To pass the bill during the virtual roundtable on Thursday. “My message to Congress is this: Listen to the American people,” Biden said.

“This is the strongest bill you can pass to lower inflation, continue to cut the deficit, reduce health care costs, tackle a climate crisis and boost America’s energy security.” and ease the burden for working class and middle class families,” Biden continued. ,

However, Republicans are less enthusiastic about the more than $700 billion spending and tax package.

Senate Minority Leader Mitch McConnell, R-Ky., does a cable news interview ahead of the start of the two-week recess, Wednesday, June 23, 2021, at the Capitol in Washington.  Earlier, President Joe Biden had announced a bipartisan agreement.  The pared-down infrastructure plan that would put a head on his top legislative priority and validate his efforts to reach the political aisle.  (AP Photo / J. Scott Applewhite)

McCarthy told Fox News on Wednesday that “Democrats have no plan to solve all the problems they created” and that Munchkin’s bill is not the solution.

In the Senate, McConnell said this week that most of his aides were “somewhat surprised” about Munchkin’s reversal of previous positions. He continued by telling Fox News that the bill raises taxes and that “calling it an inflation reduction bill is rather ridiculous.”

“Democrats are devastatingly out of touch with what American families really care about,” McConnell said in a statement this week. Their approval ratings show it. And their reckless tax and spending spree proves it, too. does.”

The Senate is set to convene over the weekend on Saturday to vote on a procedural proposal to move the bill forward. It is still unclear whether Sen. Kirsten Cinemas, D-Ariz., will support the legislation, and her vote is required for final passage of the bill under conciliation rules that would allow a majority to pass.

Democrats previously touted a letter from 126 economists to support Manchin’s bill.