Las Vegas Review-Journal

■ Inflation is tempering confidence about a rapidly expanding economy, a poll shows.

Rapidly growing economy under Biden hurt by rising prices

- By Josh Boak and Hannah Fingerhut

WASHINGTON — President Joe Biden is banking on the idea of making life more affordable for middle-class families — and that’s where the recent bout of inflation poses both a political and an economic risk.

The U.S. economy may be poised for the fastest growth since 1984, but many Americans are not feeling all that confident about the economy, according to a new poll from The Associated PRESS-NORC Center for Public Affairs Research. Republican lawmakers have attacked the Biden administra­tion over inflation as the country reopened from the coronaviru­s pandemic, and feelings about the economy are settling along partisan lines.

Fewer than half, 45 percent, judge the economy to be in good shape, while 54 percent say it’s in poor shape. Views are similar to what they were in AP-NORC polls in June and in March, despite increases in vaccinatio­ns and the flow of aid from Biden’s $1.9 trillion coronaviru­s relief package. The results suggest that Americans not only filter their thoughts about the economy through their politics but also see uncertaint­y as the country is still 6.8 million jobs below pre-pandemic levels.

John Novak, a 52-year-old school maintenanc­e worker from Hudson, Wisconsin, is tired of seeing higher gasoline prices and six-month waits to buy a refrigerat­or. He blames the size of the aid package.

“Everything just costs more, and no one’s really making more other than if you get government money, which I did get some, but I’d rather have prices lower,” said Novak, who voted for President Donald Trump last year.

The Biden administra­tion is keenly aware that inflation is a potent weapon that could be used politicall­y against Democrats. While pledging to stay vigilant against price increases, officials say that the recent burst reflects the complex nature of restarting an economy that had been shuttered because of the pandemic and that inflation will only be elevated temporaril­y as a result.

There are some early signs of inflation lessening as the Manheim Used Vehicle Value Index fell during the first 15 days of July. The economy has been adding nearly 605,000 jobs a month since Biden became president and economic growth is tracking above 7 percent.

“There’s no better way to contradict false messaging than by posting strong performanc­e,” said Jared Bernstein, a member of the White House Council of Economic Advisers.

Still, political identity is infusing views on the economy. About 6 in 10 Democrats call the economy good, while three-quarters of Republican­s say conditions are poor.

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