Congressman Don Beyer (D-VA), Chairman of the U.S. Congress Joint Economic Committee (JEC), released the following statement after the Bureau of Labor Statistics reported the June Consumer Price Index increased 1.3% on a seasonally adjusted basis, up from 1.0% in May, which pushed prices up 9.1% from a year ago.
“June’s CPI report confirms what we have known, that prices are too high for U.S. workers and families as a result of Putin’s invasion of Ukraine and strained supply chains still adjusting to our robust economic recovery.
“However, today’s numbers do not reflect the recent progress in commodity prices, which have moderated substantially. As we have seen, gas prices have dropped for nearly 30 straight days—and are expected to keep falling—bringing oil prices down more than 20% from their peak in early June. This is good news for drivers and is the result of President Biden’s aggressive actions to lower prices at the pump. While the full effects of this won’t show up until next month’s inflation report, the relief to consumers nationwide has been immediate.
“As inflation remains elevated around the world, the Fed remains best positioned to address short-term inflation in the United States, and the strong economic rebound has given it the flexibility to raise interest rates to tamp it down. At the same time, Democrats in Congress and the Biden administration are focused on bringing down costs—now and for the long term—and supporting a booming labor market to create better job opportunities for U.S. workers.
“From combatting profiteering by the oil industry, to boosting food production, to clearing supply chain backlogs and improving supply chain resilience, Democrats are attacking this challenge head on. And to ensure families can keep more of their paychecks, Democrats are working to advance policies that lower out-of-pocket costs on essentials like health care, child care and housing.
“While Democrats advance policies to drive broad-based economic growth, Republicans are offering no solutions on inflation. They are politicizing economic hardship, and they are proposing to raise taxes on almost half of individuals and families while slashing Social Security, Medicare, Medicaid and veterans’ benefits.
“That is a recipe for disaster and continued rampant inequality, not a more prosperous and stable future.”