230 economists warn U.S. government’s proposed inflation-reduction bill will fuel inflation

Last week, U.S. Democrats unveiled climate and health care legislation called the Reducing Inflation Act, and there has been much debate over the name of the proposed public policy measure. After the legislation was announced, 230 economists sent a letter to the leaders of the U.S. Senate and House of Representatives, warning that the proposed policy would actually fuel inflation. The letter emphasizes the urgent need to contain inflationary pressures in the United States, but further points out that the “Inflation Reduction Act of 2022” is a misleading label that could have the exact opposite effect.