Stephen Moore, who served as a senior economic adviser to former President Donald Trump, mocked the White House for celebrating July inflation figures, pointing out to Newsmax on Wednesday that, despite a slight cooling from the previous month, the rate is still the highest in 40 years.
The consumer price index went up 8.5% in July from the same month a year ago, down from 9.1% in June.
Moore also stressed on Newsmax's "National Report" that the only reason prices came down somewhat is that "things are so expensive right now, that you are seeing a reduction in demand."
He gave, as an example, that gasoline prices have decreased due to the fact that this summer people didn't take a vacation to the mountains or the beach because they couldn't afford it, "which is not a very good reason to celebrate prices falling."
He added that "if you look at the staples ... those prices are up 15, 20, 30%" over the past year. "How anybody can call this is good news, I don't know."
When Moore was asked what he thought about JP Morgan's evaluation that the recently passed Inflation Reduction Act will have almost no impact on price growth, he became livid, saying that the legislation backed by the Biden administration "will actually make inflation worse. This is almost malpractice for JP Morgan to say this is not going to affect the inflation rate."
Moore said that "when you add $700 billion of new spending and then you exacerbate the problem by raising taxes by $500 to $600 billion, somebody has to explain to me how that's going to reduce inflation."
He declared emphatically, "That makes absolutely no economic sense whatsoever."
Furthermore, he pointed out that "we know the reason we have high inflation right now is because of out-of-control government spending. We should be cutting government spending, not increasing it."
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Brian Freeman, a Newsmax writer based in Israel, has more than three decades writing and editing about culture and politics for newspapers, online and television.
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