LETTERS TO THE EDITOR Carter inflation all over again

ANALYSIS/OPINION:

You are not adequately explaining the dangers of Biden inflation. A huge factor in the inflation numbers is a very critical parallel with the Carter years.

There was a large corporate tax hike early on in the Jimmy Carter admistration that has been largely forgotten. It caused across-the-board price increases that took the energy-inflation problem and made it a deep-rooted general inflation. The Democrats and Biden have flat-out said they want a huge tax increase and would make it retroactive. In February and March, sompanies simply raised prices to compensate and we saw the impact in May and June. Notice Wall Street is silent about it because of the huge profits which in turn drive the stock market.

But this is only the first step. As the tax-induced increases trickle down, companies have to raise prices again, which is what gives the inflation deep roots.  Massive government spending simply throws gasoline onto a raging fire. This is exactly what happened in Germany in the 1920s (reparations payments were the tax) and what Carter did in the late 1970s. 

Please do a series on why Carter inflation took hold and why the dim bulbs in Congress and the Biden Aaministration are plunging the nation down the same path. 

JAMES BARENDS

Wayne, Pa.

Sign up for Daily Opinion Newsletter

Share this post