Cape News

House Ways and Means Committee Chairman Jason Smith expressed concern over the rising core inflation rate, as indicated by the Federal Reserve's Personal Consumption Expenditure (PCE) index. The year-over-year core inflation rose to 2.7 percent, exceeding expectations.

Smith criticized the Biden-Harris administration, stating, "The ghost of Joe Biden and Kamala Harris’s failed policies haunts Americans every time they check out at the grocery store or pay their bills." He emphasized that prices have increased significantly during Vice President Harris's tenure, impacting families' ability to afford basic necessities.

Smith compared these developments with the period under former President Trump, highlighting benefits such as increased real incomes and reduced poverty rates due to tax cuts. He warned that Vice President Harris plans to end these tax cuts if elected president, which he believes would lead to a tax increase for all Americans.

Republicans on the Ways and Means Committee are advocating for economic policies that they claim will continue boosting paychecks and supporting small businesses. They oppose what they describe as a $7 trillion tax hike proposed by Democrats. Smith noted that committee members have engaged with workers and small businesses across 20 states through over 120 listening sessions.

Key statistics provided by Smith include a 20.5 percent increase in prices since the start of the Biden-Harris administration, real wages falling by 3.4 percent, and interest rates reaching their highest levels in 23 years. Mortgage costs have risen sharply, credit card debt has exceeded $1 trillion for five quarters, and savings rates have declined compared to pre-Biden-Harris levels.

Smith also pointed out federal spending increases under the current administration compared to previous averages since FY2000.