There is a sharp disconnect between the U.S. economy’s underlying realities, which are good, and people’s attitudes about the economy, which remain sour. Why does President Biden’s economic performance get such bad marks when unemployment is near record lows, net jobs are still being created at a breakneck pace, and inflation has fallen notably?
Although the Biden administration can’t crow about it, for fear of seeming out of touch, the economy is doing remarkably well. Consumer price index inflation over 12 months, which peaked around 9% in June 2022, has lately been running around 3.5%. The unemployment rate, which was 6.3% when Mr. Biden took office, has now been 4% or lower for 22 consecutive months. Job creation is still running well above the rate needed to absorb labor force growth. Consumers continue to spend like mad.
Copyright ©2023 Dow Jones & Company, Inc. All Rights Reserved. 87990cbe856818d5eddac44c7b1cdeb8
