‘Real wages are FALLING’: Kevin McCarthy slams Biden as August inflation comes in at 8.3% – with grocery prices up by 13.5% on the year 

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  • House GOP Leader Kevin McCarthy is critical of President Joe Biden’s economy after inflation hit 8.3 percent in August
  • The consumer price index fell for the second straight month after hitting 9.1 per cent in June, a 40-year high
  • It remains at the highest level since the financially unstable 1980s
  • McCarthy vows Republicans will have a ‘plan’ to curb rising prices
  • House Republicans prepare to unveil their ‘commitment to America’ ahead of November midterm election

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House Republican Leader Kevin McCarthy on Tuesday slammed President Joe Biden and congressional Democrats for their “radical and reckless spending,” which he says is responsible for August’s sharp 8.3 percent inflation spike.

The minority leader told DailyMail.com that his party has plans to cut “waste spending” if they win the House of Representatives in November – a likely outcome, according to many estimates.

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Inflation was rising steadily throughout the year until reaching a 40-year high of 9.1 per cent in June. It fell slightly to 8.5 per cent in July, mainly due to a reduction in gas prices after a sharp spike in the summer. But an 8.3 percent rise in consumer prices in August suggests inflation is still running hot, while wages are failing to keep pace with rising costs.

‘The cost of living is up 8.3 percent from last year, rose further this month despite a Democrat’s victory in July, and is up about 13 percent from January 2021. McCarthy told DailyMail.com. ‘Joe Biden and the Democrats in Congress are to blame, and they have no plan to fix it.’

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He specifically referred to Biden’s COVID-19 pandemic package as the US rescue plan, which many economists have pointed to as helping drive inflation.

Real wages have declined every month since Biden’s $1.9 trillion stimulus spending spree passed. Joe Biden and the Democrats in Congress are to blame, and they have no plan to fix it,’ McCarthy said.

Paychecks cover less. Joe Biden and the Democrats in Congress are to blame, and they have no plan to fix it.

House Republican Leader Kevin McCarthy told DailyMail.com that Joe Biden and the Democrats in Congress are to blame for rising inflation.

McCarthy argues that Biden's significant increase in labor wages has been outweighed by rising costs

McCarthy argues that Biden’s significant increase in labor wages has been outweighed by rising costs

Meanwhile in his own statement on Tuesday, Biden spoke of a rise in ‘real wages’ as he made a modest reduction in consumer costs.

‘This month, we saw some price increases at the grocery store slower than a month ago. And real wages rose again for the second month in a row, giving hardworking families a breather,’ the President said.

‘Reducing inflation will take more time and resolve, which is why we passed the Inflation Reduction Act to reduce the cost of health care, medicines and energy.’

But McCarthy highlighted the negative effects of Democrats’ inflation spending bill, which budget models such as Penn Wharton have shown will be mitigated by their promise to reduce rising costs.

‘The Democrats were spending a lot of fanaticism and reckless and the American people were stuck with the bill. They voted to double the size of the IRS and hire 87,000 new agents to harass more hardworking Americans who try to follow a complicated, cumbersome tax code,’ the GOP leader said.

August's inflation rate of 8.3% represents a decline from the 40-year high of 9.1% in June and 8.5% in July - but it shows that inflation is still running hot and above the Fed's target rate of 2%. Is

August’s inflation rate of 8.3% represents a decline from the 40-year high of 9.1% in June and 8.5% in July – but it shows that inflation is still running hot and above the Fed’s target rate of 2%. Is

‘They also voted to raise taxes and kill jobs during the recession. This is the unbearable record and unacceptable reality of Democrat-controlled Washington.’

Without going into further detail, McCarthy said his party has a plan to “deliver an economy that is strong and a government that is accountable.”

“House Republicans are committed to lowering the cost of living by fighting inflation and curbing extravagance,” he said.

Meanwhile, Biden called the inflation rate

Meanwhile, Biden called the inflation rate “progress” in a White House statement on Tuesday.

McCarthy has led the GOP in packing its agenda into a series of goals and agenda items that Americans can weigh in the ballot box in November.

Titled ‘Commitment to America’, it follows former House Speaker Newt Gingrich’s famous covenant to America. Gingrich’s plan was introduced six weeks before the first midterm of Bill Clinton’s presidency and is credited with helping spark a massive red wave in both houses of Congress in the 1994 election.

As it did in July, the collapse in gas prices has pushed the consumer price index down again – after reaching a record-high $5 per gallon average in mid-June.

Prices at the pump are still 25 percent higher than last August, despite a 10.6 percent drop from the previous month.

Americans are also likely to feel the financial pain in their monthly utility bills, with the overall cost of energy rising more than 23 percent from last year.

The price of groceries has increased by 13.5 per cent over the previous year, the biggest jump since 1979.

Core inflation, which does not include volatile food and energy prices, rose 0.6 percent in August.

Biden increased that measure last month by about 0 percent.

Credit: www.dailymail.co.uk /

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