Shakespeare once famously wrote that “a rose by any other name would smell just as sweet.” Well, in the same way, a turd by any other name still smells like shit.
That’s why President Biden and Congressional Democrats’ new “Inflation Reduction Act” is still such terrible legislation despite it being named after inflation reduction, something we desperately need right now. As I explained yesterday for BASEDPolitics, it’s actually partisan bill that would waste hundreds of billions on green energy subsidies and big government healthcare schemes while hiking taxes on businesses and workers at the worst possible time (as we enter a recession). I also argued that it wouldn’t have any real impact on inflation.
But now you don’t just have to take my word from it. A new analysis from researchers at the Wharton School of Business concludes that the “Inflation Reduction Act” wouldn’t reduce inflation at all.
“The Act would very slightly increase inflation until 2024 and decrease inflation thereafter,” the Ivy-league analysts report. “These point estimates are statistically indistinguishable from zero, thereby indicating low confidence that the legislation will have any impact on inflation.”
The Wharton analysis also notes that the legislation would have zero—yes, zero—impact on economic growth by 2031.
This all stands in stark contrast to the president’s lofty promises and the legislation’s optimistic name. But a turd by any other name is still a turd.