Magical mystery tour

Inflation is one of the biggest challenges President Joe Biden faces. Americans of all political persuasions are angry about it.

On Tuesday, Biden gave his most forceful remarks yet on inflation, telling the nation he was taking it “very seriously” and considered it “my top domestic priority.” He should have said this months ago. The White House has been suffering from magical thinking on inflation, and, sadly, that continues.

For much of last year, the Biden administration wrongly told the American public that rising prices would be short-lived. When it became clear that inflation would not come down on its own, the White House began a blame game. One of its favorite talking points is to pin inflation on greedy corporations for hiking prices too much. That just doesn’t add up. Corporations did not become far more greedy in the past few months. What’s really going on is basic economics: There’s high demand for a lot of stuff and not enough supply because of the pandemic, the war in Ukraine, China’s lockdown, crushed supply chains and not enough workers. That’s a classic recipe for higher prices.

The Federal Reserve has properly taken the lead on tackling inflation. The central bank is aggressively raising interest rates, which should cool off demand for homes, cars and more. Meanwhile, Biden and his fellow Democrats should be focused on things they can do on the supply side: how to fix supply chains and get more workers into the economy.

It’s wishful thinking that inflation is going to come down much by Election Day. To show voters he is on top of the problem, Biden needs to do more than blame someone else for high prices.