That's nice but it doesn't reflect grocery prices. But if we use the stock market as an indicator of a thriving economy, let's have a look at the S&P 500 during the Biden years. Helluva disaster Trump inherited, ain't it?
View attachment 18117
AI 🤖 39 Sources.
During Joe Biden’s presidency (January 2021 to January 2025), inflation in the United States rose significantly compared to prior years, driven by factors including post-COVID supply chain disruptions, the $1.9 trillion American Rescue Plan stimulus, energy price shocks from the Russia-Ukraine war, and strong consumer demand.
Key Metrics (based on Consumer Price Index for All Urban Consumers, CPI-U, from Bureau of Labor Statistics data):
• Starting point: Year-over-year inflation was 1.4% in January 2021 when Biden took office.
• Peak: Reached 9.1% year-over-year in June 2022 — the highest in over 40 years.
• Average annual rate: Approximately 5% over the full term (precise calculations vary slightly by source, but consistently in the high single digits when annualized).
• Ending point: 3.0% year-over-year in January 2025 (Biden’s final full month).
• Cumulative increase: Prices rose about 21% from January 2021 to January 2025. This means goods and services that cost $100 in early 2021 typically cost around $121 by early 2025.
Inflation cooled substantially after mid-2022 due to Federal Reserve interest rate hikes (11 increases starting in 2022), easing supply chains, and falling energy prices, dropping to around 3% by late 2023–2024. However, it remained above the Fed’s 2% target for most of the term.
Comparison to Trump’s First Term (2017–2021)
Inflation was much lower and more stable, averaging around 1.9–2% annually, with cumulative price increases under 8%. The pandemic caused a brief deflationary dip in 2020, but no major surge occurred until after Biden took office.
Critics (often Republicans) attribute the surge to excessive stimulus spending under Biden, while supporters point to global factors and note that inflation followed similar patterns in many countries. Real wages (adjusted for inflation) declined slightly overall under Biden (down ~1–2% cumulatively), as nominal wage growth (~20%) lagged behind price increases.
By late 2025 (under the subsequent administration), inflation had eased further to around 2.7–2.9%, though some data gaps existed due to a government shutdown affecting October 2025 reporting.