Recently, former President Donald J. Trump’s economic advisor, Larry Kudlow, proposed a solution for inflation to the Biden administration. According to Kudlow, the Federal Reserve should stop delaying the inevitable rise in interest rates. Instead, the Fed should aim for increasing interest rates sooner, rather than later, especially as crushing inflation looms.
In a discussion on “The Cats Roundtable” on Sunday, Kudlow declared that the Federal Reserve “should start raising rates right away.”
“If they do that, you have a chance of ending the inflation in a year or year and a half,” Kudlow added.
As Kudlow continued his dialogue with “The Cats Roundtable” host John Catsimatidis, he added that inflation is only going to grow worse “the longer the Fed waits.”
“The longer the Fed waits, the harder it’s going to be,” Kudlow remarked ominously before referencing another dark economic period in the United States history.
“I don’t want us to have a 1970s-style situation,” Kudlow continued, “[interest rates] have been way too loose for too long.”
Furthermore, Kudlow also observed that Congressional Budget Office (CBO) recently did not fare well for the Biden administration’s massive, multi-trillion dollar Build Back Better bill. Per the Trump’s former economic advisor, the CBO score alone should be a dealbreaker for the legislative agenda.
According to CBO analysis, the bill is anticipated to cost close to $4.9T. Moreover, analysis also revealed that the legislative agenda would increase the national deficit by $3T.
“Shocking numbers,” Kudlow declared.
“Along with inflation, [these numbers] virtually guarantee there will be no successful [Build Back Better] vote this year,” Kudlow added, noting that the Democrats are highly likely to “pause until next year.”
“And, frankly, when they get into next year … the bill will go away,” Kudlow chortled, noting that the bill is likely to vanish “since the country hates the bill anyway.”
“It’s a game changer!” Kudlow exclaimed.