Joe Biden and the Democrats have been engaged in a coordinated propaganda campaign for the past few months, claiming that Biden has pulled off a miracle by boosting the US economy and defeating inflation. Yet, around 60% of Americans in polls continue to say that Biden is doing a terrible job when it come to the economic situation, and over 70% of Americans say they are now financially stressed, due in large part to inflation in the cost of living. Around 72% of Americans continue to believe that the country is on the wrong track.
If the financial structure is on the way to a “soft landing” and a historic recovery as the political left says, then why are the majority of Americans in dire straits? The logical answer is that the Democrats are lying about the true condition of the economy.
The latest example is Biden's announcement on social media that America is witnessing a “manufacturing boom” thanks to his policies. It's unlikely that Joe Biden is personally engaging in his own social media accounts; he has a team of paid lackeys to run those accounts for him. However, the point remains that “Bidenomics” is the chosen rally cry for leftists. Why? Because the majority of fiscal threats have taken place on Biden's watch and, in part, because of Biden's policies.
This is made possible by our historic investments. pic.twitter.com/ISNp7JbKAM— Joe Biden (@JoeBiden) July 27, 2023
But instead of offering any legitimate solutions to the country's economic crisis, Democrats have chosen instead to gaslight the public by cherry picking statistics out of context. There is no “manufacturing boom.”
Biden appears to be basing his assertions on one stat in particular, factory construction. And yes, if you look at that stat alone then it might seem like domestic manufacturing is experiencing new life. But, where are these new factories coming from?
The majority are government subsidized green tech factories as part of Biden's “Inflation Reduction Act.” Meaning, they are jobs created using your tax dollars through socialist programs, not free market demand. Not only that, but a number of these factories are being built by foreign companies, not American companies. For example, JA Solar, a Chinese company, plans to build factories in Arizona while benefiting from Biden's subsidies. Meyer Burger Technology, a company out of Switzerland, is also building solar factories in Arizona.
And what happens when the government props up an industry without equal market demand? What happens when a manufacturing "boom" siphons American cash to foreign interests? It ends up destroying wealth, not creating wealth. In other words, Biden is using billions in taxes to falsify economic numbers in the short term as a means to get re-elected.
The truth is, US manufacturing has been in dramatic decline since Biden took office. The PMI index (ISM Purchasing Managers Index) has been in free fall since March of 2021, dropping to levels not seen since the covid lockdowns of 2020. As a point of reference, a PMI above 50 indicates growth in manufacturing. A PMI below 50 indicates contraction. Under Biden, the PMI has dropped from a high of 64 down to a current low of 46. If we set aside the covid lockdowns, that's the lowest level for the PMI since the 2008 credit crash.
US factory output has also dropped four months in a row, indicating that the huge boost from $8 trillion+ in covid stimulus has now fizzled. Biden can use tax dollars to create as many green tech factories and false jobs as he wants, but the bottom line is that US manufacturing is crashing because global demand is under pressure. High inflation and high prices coupled with rising interest rates tend to do that.
Biden's strategy is reminiscent of the Chinese government's efforts to falsify economic growth – The CCP often uses unnecessary public works and infrastructure projects as a means to create jobs out of thin air. Not because they care about the well-being of the population, but because they care about how China is perceived by the rest of the world. There are thousands of empty buildings dotting the landscapes of ghost cities in China, paid for with public funds as a means to make the CCP look like they are creating a successful communist paradise.
Sometimes, the CCP dumps millions of dollars into these buildings and then simply blows them up.
Such projects artificially boost GDP, create millions of jobs on the taxpayer's dime (for a short time) and portray an image of a country on the path to 1st world success. But, it's all a facade. This is exactly what Biden is trying to do with the American economy – A false front using manipulated stats, not just to con the world, but to con the American people.