Bad Policy Fuels Inflation Woes for Entrepreneurs and Small Businesses

By SBE Council at 13 October, 2022, 10:55 am

NEWS

For Immediate Release

Washington, D.C. – According to the latest data released by the U.S. Bureau of Labor Statistics, high inflation continues its punishing run.  The inflationary pressure continues to tear at the financial health of small and local businesses, according to Small Business & Entrepreneurship Council president & CEO Karen Kerrigan.

She issued the following statement on the latest CPI data:

“President Biden’s policies are a key source of inflation. The hyper-regulatory agenda and regulatory threats being pursued across all sectors – from technology to energy, the financial sector and more – as well as intrusive and costly rules governing the workforce and many critical areas of our economy, are making a horrible inflation situation much worse.  A change in Congress to provide a check on these reckless and archaic policies cannot come quick enough.”

SBE Council chief economist Raymond Keating added the following, which are noted in his analysis of the latest inflation data. Keating writes that persistent inflation is not being driven by “a so-called overheated economy”:

“In the end, low inflation and solid economic growth should go hand-in-hand, and in order for that to happen, we need supply-side growth policies from Congress and the White House – such as tax and regulatory relief that incentivize entrepreneurship and investment – and monetary policy focused on low inflation and a stable dollar. This is not happening.

“Congress needs to be focusing on pro-investment, pro-business policies. The Fed needs to be concentrating on reining in the unprecedented expansion of the monetary base it has engineered since 2008, and simply leave interest rates to the market.”

CONTACT:

Karen Kerrigan, kkerrigan@sbecouncil.org

Raymond Keating, rkeating@sbecouncil.org

SBE Council is nonpartisan advocacy, research and education organization dedicated to protecting small business and promoting entrepreneurship. For 28 years, SBE Council has worked on and advanced a range of private sector and public policy initiatives to strengthen the ecosystem for strong startup activity and small business growth. Visit www.sbecouncil.org for additional information. Twitter: @SBECouncil

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