News Story

Stabenow says costs are down under Biden, but facts say otherwise

Gas prices, home prices, and the cost of living are all up compared to January 2021

“When @POTUS took office, our economy was not in a great place,” Sen. Debbie Stabenow tweeted May 30. “Democrats invested in America, and we are seeing record-low unemployment, and costs continue to go down!”

The Michigan Democrat’s claim is inaccurate, according to James Hohman, budget policy director at the Mackinac Center.

“Average costs have only increased since 2021 and keep increasing at rates we haven’t seen since the stagflation era,” Hohman told Michigan Capitol Confidential.

Since President Joe Biden took office, the cost of living has soared. The $1.9 trillion American Rescue Plan signed by Biden vastly expanded the money supply, fueling inflation. Democratic mandates to switch to unreliable and expensive renewable energy are driving up energy costs, as is the administration’s refusal to approve drilling permits.

Energy prices have risen 17% since the month before Biden took office in January 2021, according to The Heartland Institute. On taking office, Biden immediately canceled the permit for the Keystone XL Pipeline, a project to deliver oil from Canada to the U.S.

Food costs rose 11% from 2021 to 2022, according to the U.S. Government Accountability Office — far above the typical 2% annual increase.

Gas prices doubled in 2022 compared to when Biden took office, according to the House Ways and Means Committee. Prices have edged down slightly since but are still higher than before Biden took office. The average house price has increased $100,000 in the same timeframe, the committee states.

Michigan Capitol Confidential is the news source produced by the Mackinac Center for Public Policy. Michigan Capitol Confidential reports with a free-market news perspective.