President Joe Biden’s claim that he is responsible for record employment creation has been debunked by an economist. He claims credit for creating 6.4 million jobs by 2021, citing the American Rescue Plan, a COVID-stimulus plan championed by Biden that some economists contend has exacerbated inflation. Biden has often boasted that his government has produced more employment than any prior administration during his term.
The assertion by the Biden Administration that the economy gained 6.4 million jobs last year obscures the fact that the great majority of those positions are Americans returning to work after the worst of the COVID-related lockdowns ended. On Wednesday, the ADP chief economist said that President Joe Biden is not to blame for employment growth since President Donald Trump’s “high-water mark” in 2019. She claims the economy hasn’t added a single job since then.
According to Richardson, wage increases are coming on top of a declining workforce, and productivity improvements aren’t helping. According to the most recent data, February 2020 is still 3.6 million jobs short of pre-pandemic levels. “All of the jobs that we’ve seen gained are ones that were previously lost,” says Richardson.
Moreover, Richardson believes that salaries are a misleading statistic. It isn’t driving inflation, and salaries are struggling to keep up with an economy that is now experiencing a variety of shortages from many aspects. He claims that excessive inflation is destroying wage growth due to labor shortages.