In a lengthy speech at the Brookings Institution, a Washington, D.C. think tank, on Tuesday, President Joe Biden forcefully defended his economic legacy and harshly criticized his successor.
“Most economists agree the new administration is going to inherit a fairly strong economy, at least at the moment, an economy going through fundamental transformation,” Biden said. “It is my profound hope that the new administration will preserve and build on this progress. Like most great economic developments, this one is neither red nor blue, and America's progress is everyone's progress.”
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The president pointed specifically to record job growth during his tenure and an historically-low unemployment rate, as well as solid GDP performance, major investments in infrastructure and a soaring stock market.
Most economists agree Biden’s term in office has coincided with a strong jobs market, and note the economic forecast remains bright – especially when contrasted to that of other peer nations, many of which have struggled to rebound from the COVID-19 pandemic.
And yet, Americans by and large disapprove of Biden’s economic tenure, particularly the high costs of goods and services. Though inflation has fallen some, it remains higher than when the president took office and has become a frequent point of attack for Republicans critical of the Biden administration.
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President-elect Donald Trump’s victory last month served in some was as a repudiation of the president’s so-called “Bidenomics” policies, with most voters telling pollsters they were dissatisfied with the state of the U.S. economy and Biden’s handling of the issue.
Since Trump’s election, attitudes towards the economy have improved slightly, particularly among Republicans; according to research from Gallup, just eight percent of Republicans in October viewed economic conditions as getting better, compared to 30% last month.
Biden himself seemed to acknowledge some missteps in selling his economic vision to Americans.
“I also learned something from Donald Trump,” Biden said. “He signed checks for people for $7,400 bucks,” the president noted of the pandemic-era relief measures. Even though Biden approved similar relief efforts during his term, his name never appeared on American’s checks.
“I didn't – stupid,” Biden conceded.
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Seeking to bolster Biden’s economic legacy, the White House on Tuesday launched a new website hailing the “Biden Economy,” featuring statistics about economic performance during his term and complimentary videos from his supporters.
Biden’s speach, meanwhile, also served as a warning of sorts to his successor, with the president arguing against tax cuts for the wealthy and the notion that such benefits would “trickle down” to middle class Americans.
“You can make as much money as you can, good for you, but everybody's got to be they pay their fair share,” Biden said.
Trump has pledged to extend the tax cuts he signed into law in 2017, telling NBC News he intends to submit a tax package to Congress within his first 100 days in office.
“They’re coming due and they’re very substantial for people,” Trump said of his 2017 cuts. “That’s what led us to one of the greatest economies ever.”
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A report by the nonpartisan Congressional Budget Office in December found that failing to extend those tax incentives would have a negligible impact on the economy, though Republicans are expected to pursue them and other business tax breaks after they retake both chambers of Congress next year.
Trump has also promised to impose significant tariffs on the import of foreign goods from Mexico, Canada and China – despite economists’ and retailers’ warnings that will drive up consumer prices. Trump in the NBC interview said he couldn’t guarantee the move wouldn’t increase consumer costs, something Biden harshly refuted.
“I believe we've proven that approach is a mistake over the past four years,” Biden said. “But we all know in time, we all know in time what will happen.”
