Washington, D.C. — Today, in a straight party-line vote, the U.S. House advanced the Inflation Reduction Act (H.R. 5376) by a 220 to 207 margin. The misnamed bill will now go to President Joe Biden’s desk for signing.
Carrie Lukas, vice president at Independent Women’s Voice, released the following statement:
“House Democrats have followed their Senate Democratic colleagues in approving a falsely-named ‘Inflation Reduction Act.’ This bill will not reduce the current, 40-year high inflation. Economists and trusted economic modeling indicate that this bill will increase inflation over the next year.
“Not only will high gas prices and accelerating inflation eat away more of workers’ pay, but most households will also suffer tax increases due to the corporate tax increases in this bill. Industries critical to supporting our energy needs and the supply chain face a slew of tax increases that will undermine domestic energy production and hamper efforts to get the supply of goods and services in line with the demand — the key way to lower inflation.
“Over the next 10 years, a University of Chicago economist estimates this $768 billion tax-and-spend bill will not reduce inflation and is projected over the next ten years to cut employment by 900,000, shrink annual GDP by 1.2% and slash average household income by roughly $1,200. Those estimates also included a forecast that the bill will likely ‘significantly increase the federal deficit’ and ‘add to inflation by reducing the aggregate supply of goods and services.’
“As a result, expect prices to keep rising. While the elites in power can afford it, vulnerable Americans such as low-income families, older Americans, and struggling single-parent households are reaching their limits. Americans are under financial distress right now. Congress is right to want to reduce that hardship, but the Inflation Reduction Act is 100% counterproductive to that goal.”
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Independent Women’s Voice fights for women by expanding support for policy solutions that aren’t just well intended, but actually enhance freedom, opportunities, and well-being.