Republicans are currently looking to use the economic crisis facing the United States as a political pressure card in the upcoming presidential elections, claiming that Biden’s policies have stagnated the US economy, which negatively affects his chances in the election. , according to observers who spoke on the Sky News Arabia website.
According to American political affairs writer Byron York, Republicans’ accusations of President Biden’s poor monetary policies and increased spending could be a pressure card in the upcoming presidential elections.
York said the United States experienced high rates of negative growth, in the first and second quarters of 2022, but the economy returned to the zone of positive growth in the following quarter of the same year, and then again. to stagnation.
Government reports indicate that gross domestic product grew at a low annual rate of 1.1% in the first quarter of 2023.
Growth in the United States slowed significantly in the first three months of the year as interest rates rose and inflation gripped an economy that is expected to slow significantly.
The economic crisis is expected to have negative effects on the upcoming election, according to York, if current efforts fail to resolve the crisis.
York explained the impact of the economy on Biden’s situation, saying, “The greatest political burden falls on Biden. Just as Republicans accuse him, the president bears some personal responsibility for the slowing of the economy. economy, after pushing policies, especially government spending, to make a recession more likely.”
“Biden could be campaigning for re-election during the recession he helped cause, but that would be a big adventure,” York added.
Can Biden resolve the crisis before the election?
American writer Paul Krugman predicted more negative scenarios for the US economy in the coming months that would directly affect election scenarios in 2024, including:
Biden and his party’s failure to provide urgent solutions to the current economic crisis in the United States. Next summer could witness major complications with the economic situation, which would negatively affect Biden’s electoral fortunes. Rapid and high inflation has affected the labor market as well as the prices of goods and services, representing weakness for Biden. The Corona pandemic directly affected the US economy, which led to the crisis doubling. Biden must provide urgent solutions and quick action to contain inflation and unemployment, as well as achieve an economic recovery in the coming months to overcome the crisis.
The latest developments in the debt crisis
In the latest developments in the debt crisis, the White House on Thursday warned that failure to pay the debts of the United States of America will harm local and global financial markets and negatively affect businesses and workers in the country. .
The White House has urged the U.S. House of Representatives to work together to reach an agreement to raise the debt ceiling that spares the United States the repercussions of a default on its debt.
Republicans are pressuring President Biden, a Democrat, to agree to cut spending as a condition for raising the self-imposed US debt ceiling to $31.4 trillion.
On Wednesday evening, President Biden’s economic advisers said that if the world’s largest economy fails to meet its financial obligations on time, and this default is prolonged, the US labor market could lose more than 8 million jobs this summer. .
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