Although the final votes are still being counted, the results of the U.S. midterm elections seem clear. The predicted Democratic wipe-out never happened. The Democrats actually held the Senate and lost the House by a very small margin. It was not supposed to be like this. Inflation has been running hot for quite some time and currently stands at 7.7 percent. Biden’s approval rating is abysmal. People genuinely hate inflation, especially when nominal wages don’t keep up. To compound the problem, inflation has a nasty habit of messing with peoples’ psychology, causing them to lose faith in the system’s ability to deliver what they want - stability, fair outcomes, and a rising tide. In Brad DeLong’s
The Midterms and the Economy
The Midterms and the Economy
The Midterms and the Economy
Although the final votes are still being counted, the results of the U.S. midterm elections seem clear. The predicted Democratic wipe-out never happened. The Democrats actually held the Senate and lost the House by a very small margin. It was not supposed to be like this. Inflation has been running hot for quite some time and currently stands at 7.7 percent. Biden’s approval rating is abysmal. People genuinely hate inflation, especially when nominal wages don’t keep up. To compound the problem, inflation has a nasty habit of messing with peoples’ psychology, causing them to lose faith in the system’s ability to deliver what they want - stability, fair outcomes, and a rising tide. In Brad DeLong’s