Despite Democrats’ claims that the Inflation Reduction Act will ultimately serve to reduce consumer prices and spur economic growth, economic analysts remain divided, with some predicting that the bill will worsen inflation and lead to stagnation in growth.
The bill, hammered out as a compromise agreement between moderate Sen. Joe Manchin (D-W.Va.) and Senate Majority Leader Chuck Schumer (D-N.Y.), serves to fulfill a series of broad Democrat aspirations: increasing federal revenue by closing so-called tax “loopholes,” climate change policies, expansion of the Affordable Care Act, commonly known as “Obamacare,” and reducing prescription drug prices.
The act, according to its supporters, will also help to slow the growth of the ballooning U.S. national debt by decreasing the deficit….