At his first State of the Union Address on Tuesday, President Joe Biden outlined his plans to tackle inflation — one of the principal economic challenges of his administration.
"My top priority is getting prices under control," said Biden. "Our economy roared back faster than almost anyone predicted. But the pandemic meant that businesses had a hard time hiring enough people because of the pandemic to keep up production in their factories. So you didn't have people making those beams that went into buildings because they were out, the factory was closed. The pandemic also disrupted the global supply chain. Factories closed. When that happens, it takes longer to make goods and get them to the warehouses, to the stores, and prices go up. Look at cars last year. One-third of all of the inflation was because of automobile sales. There weren't enough semiconductors to make all the cars people wanted to buy. And guess what? Prices of automobiles went way up. Especially used vehicles as well."
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"We have a choice," continued Biden. "One way to fight inflation is to drive down wages and make Americans poorer. I think I have a better idea to fight inflation. Lower costs, not your wages. Folks, that means make more cars and semiconductors in America. More infrastructure and innovation in America. More goods moving faster and cheaper in America. More jobs where you can earn a good living in America. Instead of relying on foreign supply chains. Let's make it in America."
Biden then outlined other key steps he would like to take to fight inflation: limiting the cost of prescription drugs, increasing clean energy production to reduce economic vulnerability to oil prices, and pass universal child care coverage for all.
Watch below:
Biden lays out his plans to fight inflationwww.youtube.com
