During Covid, Democrats in Congress pushed for ever-greater government handouts to voters, that often were handed out to fraudsters, and substantially increased the U.S. debt. Former Democratic Secretary of the Treasury Larry Summers predicted that this would fuel inflation. Recent research by Ernie Tedeschi, the former Chief Economist at President Biden’s Council of Economic Advisors, confirms that increased debt results in higher prices.
The New York Times article summarizing Tedeschi’s research is:
(Note: the online version of the article has the date March 12, 2024, and has the title “High Government Debt Is Seen as Stoking Inflation, Research Shows.”)
Colby Smith identifies Tedeschi as the author of the following research paper. The Budget Lab web site, where the paper is posted, does not identify the author: