Since Joe Biden took office in 2021 the cumulative effect of compounding inflation over less than two years has amounted to 17%. This means today it takes $1.17 to buy what would have cost you $1.00 in January of 2021. This is using the U.S. Bureau of Labor Statistics web site.
It’s important to look at inflation over time versus the piddling number the government trots out on a monthly basis. This inflation rate is compounding. When they say inflation is only 3.2%, that’s 3.2% on top of last month’s 3%. Just like compounding interest is important when looking at investing and saving money, compounding inflation is the ugly flip side.
When I saw this, I decided to look at the same period during President Trump’s term. This is from January 2017 through July 2019. Cumulative inflation under Trump during that period was only 6%.
Cumulative inflation during Trump’s entire 4 years was only 7%.
What’s really depressing is looking at inflation since I was born. It’s a whopping 929%! It takes $9.29 today to buy what $1.00 would buy in November 1966.