LOGIN

Biden goes into 2024 with the economy getting stronger, but voters feel horrible about it

by Lucas Garcia
3 comments
Economic Perception

In 2024, President Joe Biden faces a significant challenge as he seeks re-election. Despite the U.S. economy showing signs of strength, public sentiment remains pessimistic. This divergence between economic indicators and public perception could be a pivotal factor in determining Biden’s electoral success. Republicans are capitalizing on this dissatisfaction, while the White House is struggling to emphasize economic progress.

Democratic pollster Celinda Lake, who has worked with Biden, points out the paradox: the economy is improving, but people expect it to worsen, which she finds concerning. This sentiment reflects a desire for not just lower inflation rates but an outright decline in prices, a rare occurrence since the Great Depression.

The economic data tells a different story. Recent employment reports showed job gains and a reduced unemployment rate, while inflation has decreased from 9.1% to 3.2% without triggering a recession. Despite this, the University of Michigan’s Consumer Sentiment Index indicates persistent economic pessimism.

Notably, sentiment appears to be rising more among Republicans than Democrats, potentially signaling increased optimism among GOP voters about regaining the White House in 2024.

Jared Bernstein, chair of the White House Council of Economic Advisers, argues that a strong underlying economy is essential for improving consumer sentiment over time. He stresses the need to continue efforts to lower costs and extend economic gains to working Americans.

The White House has shifted its messaging in three ways to boost confidence in Biden’s economic leadership. First, Biden introduced the term “Bidenomics” to describe his policies, but it was quickly seized upon by Republicans for criticism. Second, Biden attributed inflation to corporate price hikes, positioning himself as a defender against such practices. Lastly, he is scrutinizing former President Donald Trump’s economic record, highlighting job losses during his tenure.

In response, Republicans have downplayed positive economic data and focused on public sentiment. They highlight multi-year increases in consumer prices and urge people to trust their instincts rather than statistics.

Despite these efforts, Biden’s speeches have had limited impact on improving his standing on the economy. Public negativity persists, even as the economy appears to avoid a predicted recession.

Several factors contribute to this disconnect. The pandemic’s impact, social media influences, and political beliefs all shape people’s perceptions of the economy. Additionally, it may take time for people to adjust after a period of rising inflation, with lag effects on consumer sentiment.

The loss of pandemic aid from the government has also left many materially worse off, as government checks and expanded child tax credits initially helped offset rising prices. Adjusting for government transfers and taxes, the average income for lower earners decreased from $34,800 to $26,100 during Biden’s tenure.

Furthermore, some companies exploited global events, such as Russia’s invasion of Ukraine, to raise prices and increase profits. Although Biden can argue that this price gouging occurred months ago, his message may now be too late.

In conclusion, the disconnect between the strong economic data and public sentiment poses a significant challenge for President Biden as he heads into the 2024 election. While the economy shows signs of improvement, convincing the public of this progress remains a daunting task, and it may require a combination of effective messaging and time for sentiment to catch up with economic reality.

Frequently Asked Questions (FAQs) about Economic Perception

What is the main challenge discussed in the text?

The main challenge discussed in the text is the disconnect between the positive economic indicators in the United States and the pessimistic perception of the economy among the public as President Biden approaches the 2024 election.

How has the public’s sentiment about the economy been described?

The public’s sentiment about the economy has been described as pessimistic, with people feeling negatively despite positive economic data.

What strategies has the White House employed to address this issue?

The White House has employed three strategies to address the issue:

  1. Introducing the term “Bidenomics” to describe the President’s economic policies.
  2. Blaming inflation on corporate price hikes and positioning Biden as a defender against such practices.
  3. Highlighting the economic record of former President Donald Trump, particularly job losses during his tenure.

What are some possible reasons for the disconnect between economic data and public sentiment?

Possible reasons for the disconnect include the impact of the pandemic, influences from social media, and the influence of individuals’ political beliefs on their perception of the economy. Additionally, it may take time for people to adjust to changes in inflation rates.

How has government aid during the pandemic affected people’s economic situation?

Government aid during the pandemic initially helped offset rising prices for many individuals, but as this aid decreased, it left some materially poorer. The loss of government aid contributed to this disconnect between economic data and public sentiment.

How have some companies taken advantage of global events to increase prices?

Some companies, such as Pepsi, Kraft-Heinz, Procter & Gamble, and Kimberly-Clark, raised their prices after events like Russia’s 2022 invasion of Ukraine to boost their profits. This has been cited as a factor in the perception of rising prices among consumers.

What is the potential impact of this economic disconnect on the 2024 election?

The disconnect between economic data and public sentiment may have a significant impact on the 2024 election, with Republicans using public dissatisfaction to challenge President Biden’s re-election prospects.

More about Economic Perception

You may also like

3 comments

GrammarNazi December 11, 2023 - 12:46 pm

So much typos nd missin punctuatn! But interstng read on econmic disconnct n 2024 electn. Ppl need 2 undrstand dis!

Reply
Reader22 December 11, 2023 - 1:26 pm

wow, this article is talkin bout how people feel bad bout economy, but numbrs say itz doin good. biden got probz 4 2024!

Reply
EconGeek December 12, 2023 - 7:47 am

This shws dat econmy can b gr8 but pple stl feelin down. Dems nd GOP playin games wit sentiment. Econ n poltics mixin up!

Reply

Leave a Comment

logo-site-white

BNB – Big Big News is a news portal that offers the latest news from around the world. BNB – Big Big News focuses on providing readers with the most up-to-date information from the U.S. and abroad, covering a wide range of topics, including politics, sports, entertainment, business, health, and more.

Editors' Picks

Latest News

© 2023 BBN – Big Big News