Palmetto State News

Sen. Lindsey Graham (R-SC) is vehemently opposed to the Democratic-sponsored Build Back Better bill, especially given runaway inflation, calling it a “spending orgy” for Democrats.

Graham made his remarks after presenting findings from a study that showed the cost of the legislation would not be $1.76 trillion as Democratic lawmakers suggest, but actually closer to $4.6 trillion. During a recent press conference, Graham used what he called the bill's true cost if the programs were extended or made permanent. The “true cost” of the program coupled with record inflation is a recipe for disaster, Graham said.

“The combination of (a) historic high in inflation and the true cost of this bill should require the Democratic party to abandon Build Back Better and work with Republicans,” Graham said during his press conference. “My hope is that Sen. (Joe) Manchin (D-W. Va.) will say, ‘Stop, shelve Build Back Better until we find better answers to where inflation is headed.”

Manchin had called for someone to provide a true cost of the program. Graham cited figures from the Congressional Budget Office.

Graham questioned the logic in passing a bill that would generate three times more debt during a period of record inflation. According to the most recent inflation statistics, the United States is currently experiencing a 39-year high in price hikes. The last time consumer prices rose at this magnitude was in 1982.

"Inflation at a nearly 40-year high is not something the Federal Reserve can ignore. While gas prices are starting to decline, there is still plenty of food inflation,” Danielle DiMartino Booth, the Quill Intelligence CEO, told Fox Business. “There is risk now that inflation has become entrenched in households’ psyches, which further pressures policymakers at the Fed to be more aggressive in their tightening stance."

Meanwhile, the producer price index (PPI) for final demand increased 9.6% from the previous year after rising 0.8% in November. Prices rose 0.7% for the month when the volatile food, energy and trade services sectors are excluded, according to CNBC. Estimates predicted gains of 0.4% for the month and 7.2% for the year, so the monthly gain was higher than expected but the year-over-year measure is a bit lower.

“For consumers, higher prices on essential goods like food and gasoline may become unaffordable for people whose paychecks aren’t rising as much,” University of South Carolina economist William Hauk said in a recent interview with the Kitsap Sun. “But even when their wages are rising, higher inflation makes it harder for consumers to tell if a particular good is getting more expensive relative to other goods, or just in line with the average price increase."

Inflation is on the minds of many American voters and could well be a factor in the 2022 midterm elections.

A recent Morning Consult poll found that 60% of surveyed voters are “very concerned” about inflation, 27% are “somewhat concerned,” and just 3% are not concerned at all. By party affiliation, 93% of Republican respondents were concerned, and 83% of Democratic respondents are also concerned. 

In conjunction with that, 62% of respondents said they held the administration very or somewhat responsible, while just 11% said Biden’s policies were not at least in part responsible for inflation. 

A recent ABC News-Ipsos poll found that 69% of Americans surveyed disapprove of how Biden has handled inflation, while just 28% approve. Along party lines, 94% of likely Republican voters say they disapprove, while 54% of likely Democratic voters, and 71% of independents do.

ABC News noted that when it comes to non-economic concerns, Biden's approval ratings have also dropped, with only 36% and 32% of those surveyed approving of his handling of crime and gun matters, respectively.

In terms of economic recovery, 57% say they disapprove of Biden's performance so far. 

In response to this crisis, Biden recently stated that he thinks inflation is at “the peak,” and that it will subside with the passage of the Build Back Better Act, which will spend trillions and increase the debt.

Meanwhile Biden’s approval rating fell to his lowest point in the most recent Morning Consult/Politico polling, with just 43% of respondents approving of the president and 53% disapproving.