Prof. Michael L. Lahr, Director, Rutgers Economic Advisory Service (R/ECON™), was quoted on the upcoming elections.
“While the economy is on everyone’s radar and will undoubtedly be a reason folks vote for one candidate or another, no candidate (not even the president or the chair of the Federal Reserve Bank) could or will be able to do much about inflation, which emanates from causes beyond U.S. boundaries. The U.S. economy is doing well compared to most other major economic powers worldwide. But this will be tough for the median voter to comprehend, so watch a number of less-than-articulate incumbents to be voted out. This suggests that Republicans are likely to seize control of at least the House. This, in turn, will make any budget reconciliation impossible. Thus, expect no further legislation on the president’s Build Back Better agenda to be passed. Although a Democratic win, the Inflation Reduction Act will have little economic effect. I suspect election outcomes will be favorable to candidates who make it seem like they best understand the voters’ pains.”