Launched in the race for his re-election in 2024, US President Joe Biden has bet everything on the strength of the US economy and the reactivation of its industry, the result, according to him, of his “Bidenomics”, the name he gave Wednesday to his reforms during a speech in Chicago.
In addition, his reforms should make it possible to “restore the American dream,” said the US president, for whom it is about investing “in our people.” “We are strengthening the middle class and we want growth that benefits everyone,” he said. “For 40 years, the drip theory has limited that dream. ‘Bidenomics’ is the future, it is another way to restore the American dream, because it worked in the past,” Biden insisted.
Possible recession in the second half of the year
Joe Biden also sees it as the cause of the strong recovery of the US economy after the stoppage caused by the pandemic; then the disruption of global supply chains. “The ‘Bidenomics’ are the desire to completely rebuild the economy around three fundamental axes: make smart investments, strengthen the middle class through education, help small businesses to strengthen competition,” he added to describe his big reforms.
However, the choice to put the economy at the center of his campaign is a bold and potentially risky one for Joe Biden, while the world’s largest economy could still experience a recession in the second part of the year. And associating his name in this way, by promoting his “Bidenomics”, is even more so, thus placing himself in resonance with “Reaganomics”, a reference to the economic boom of the 80s under the presidency of Ronald Reagan and which remains the reference for the Republicans.
Before leaving Washington for Chicago, the US president had already been provocative, explaining to the press that he heard “every month that the recession is predicted for the next one”, while now the consensus is “that we will not experience the recession “.
Hundreds of billions of dollars wasted
For the moment, the speech has some difficulties to be heard, mainly due to the persistent inflationary pressure in a country accustomed for decades to a weak rise in prices. A May poll for ABC and the Washington Post even put former President Donald Trump 18 points ahead of Joe Biden on who was managing the economy better.
For his predecessor, also a candidate for the Democratic primaries, the ‘Bidenomics’ have, on the contrary, “created the worst economic decline since the Great Depression.” “Joe Biden and the Democratic Congress have created the highest inflation in decades. […] The inflation and high interest rates that Biden has created have caused a banking crisis, a disaster of historic proportions,” Trump said in a statement.
But the White House stresses that inflation is declining, albeit slowly but persistently, and that “bidenomics” are changing the rules of the game, to the benefit of the middle class. The large investments voted by Congress during the first two years of the president’s term have invested hundreds of billions of dollars for the energy transition, semiconductors but also infrastructure, for which no less than 550,000 million dollars are expected.
“Create a boom in private sector spending”
According to Lael Brainard, director of the National Economic Council, Joe Biden is using public finances as a catalyst to “create a boom in private sector spending on factory construction” where economic policy under the Reagan era had driven the abandonment of factories. industrial cities under the effect of relocation and the abandonment of ambitious infrastructure projects.
Selon elle, the financement de l’internet à haut débit sur tout le territoire est ainsi un rappel de l’effort massif d’électrification réalisé sous la présidence de Franklin D. Roosevelt afin de moderniser le pays dans les années 30. Quant au fait que les électeurs finissent par mordre à l’argument des “Bidenomics”, cela will depend greatly on the fait qu’ils voient concrètement l’effet des dépenses près de chez eux, esteem auprès de la presse Olivia Dalton, porte-parole adjointe de la Maison white.
“We’re seeing bulldozers in action, private investment coming back to our country, we’re seeing millions of jobs created. Now it’s about, with all these successes, carrying the president’s message and showing Americans that this is all the best”. fruit of the ‘Bidenomics’, “she explained. “And this is only the beginning of its effects, “insisted Olivia Dalton.
Source: BFM TV
