WASHINGTON — President Joe Biden slammed House Republicans in his first major economic remarks of the year on Thursday, claiming GOP proposals would lead to higher inflation.
“This ain’t your father’s Republican Party,” Biden said at a steamfitters union hall in Springfield, Virginia. This is a different breed of cat, as they say.”
“They campaigned on inflation. “They didn’t say they planned to make it worse if elected,” he said in his speech, which was a mix of prepared remarks and spontaneous remarks.
“Look, that’s how they’re starting this new term: cutting taxes on billionaires, raising taxes on middle-class families, and making inflation worse.”
Biden also warned that the GOP intends to cut Social Security and Medicare.
“We’ve come too far to let that happen. “I will not let it happen — not on my watch,” Biden said, threatening to veto any legislation that cuts these programmes that comes to his desk.
Biden referred to the House GOP’s economic proposals as a “MAGA economic plan,” a reference to former President Donald Trump’s “Make America Great Again” campaign slogan in 2016.
Biden’s remarks on Thursday were not the first time he has criticised Republican economic plans this year. In a speech on Martin Luther King Jr. Day, he called House Republicans’ tax proposals “fiscally demented,” referring to their push to revoke new IRS funding and a bill that would abolish the federal tax agency and replace income tax with a federal tax on consumption. Biden promised to veto their legislation, which is almost certain to fail in the Democratic-controlled Senate.
The first bill the new House GOP majority voted on, sponsored by Rep. Adrian Smith, R-Neb., would eliminate more than $70 billion in new IRS spending approved last year as part of Biden’s Inflation Reduction Act, including money to hire 87,000 new agents, a frequent target of Republican criticism. The legislation was approved by the House on a party-line vote of 221-210. Rep. Buddy Carter, R-Ga., introduced a bill this month that would abolish the IRS, eliminate income taxes, and institute a federal consumption tax, which has sparked Biden’s ire.
In addition to attacking Republicans on Thursday, Biden praised the “good news about the American economy” that was released Thursday morning, revealing that it grew at a 2.9% annual rate in the fourth quarter of last year.
“Jobs are at an all-time high, and wages are rising faster than inflation. Inflation has been falling every month for the past six months, and God willing, this trend will continue. Manufacturing jobs are growing faster than at any point in the last 40 years. And I don’t think it’s unfair to say that this is all evidence that the Biden economic plan… is working “he stated.
Biden emphasised legislative accomplishments during his tenure, such as the pandemic-related economic stimulus package passed in 2021, the infrastructure spending bill, a bill to boost computer chip production, and last year’s climate, health care, and tax package.
Biden also announced a new “Invest in America” Cabinet, which includes the secretaries of commerce, labour, transportation, treasury, energy, and health and human services, as well as the EPA administrator and senior White House advisers. Biden has charged them with implementing his economic plans.
The federal government of the United States reached its statutory debt limit last week. The Treasury Department stated that it has begun taking “extraordinary measures” to pay the bills. Treasury Secretary Janet Yellen said special financial tools to meet the country’s obligations can be used until at least June 5, setting a deadline for Congress to act to avoid a default.
Republicans are demanding spending cuts in exchange for raising the debt ceiling and avoiding a default on US debt. Republican leaders, on the other hand, have yet to present a unified party plan to reduce spending.