President Joe Biden boasted on Wednesday that the United States economy experienced zero inflation in the month of July, although the cost of goods and services is still up 8.5 percent from the previous year.
“I just want to say a number. Zero. Today we received the news that our economy had zero inflation in the month of July,” Biden boasted during a White House speech.
All consumer price inflation in July was flat from the previous month, With thanks to a drop in gasoline prices from June’s record highs and a sharp drop in airfare costs.
“Zero percent,” Biden repeated proudly. “Last month zero inflation.”
But inflation in the supermarket continues to rise. Prices were 1.3 percent higher than a month earlier and 13.1 percent compared to a year ago.
Rental costs also increased by 0.7 percent compared to the previous month; 6.3 percent over the previous year.
He admitted that the price of some items had risen but core inflation was falling, pointing to the news of the jobs created in July as evidence that the economy was improving.
“It underscores the kind of economy we’ve built,” he said.
Biden cautiously said inflation “may begin to moderate” but warned that global challenges such as the war in Ukraine and more pandemic shutdowns could still wreak havoc on the economy.
But his overall assessment of the economy was positive — even if more than two-thirds of Americans view the economy as worse.
“The economic plan is working,” he concluded.