Americans will suffer high gasoline prices

Americans will suffer high gasoline prices

President Joe Biden said at the end of the NATO summit, Americans will suffer high gasoline prices until Russia gets out of Ukraine.

A question was asked to Biden how long Americans would pay $5 a gallon for fuel charges at the pumping stations. Biden responded by blaming Russian President Vladimir Putin’s invasion of Ukraine for the rise in fuel prices. Biden also said if the war in Ukraine ends with Russia having occupied only a portion of that nation, the Russian oil boycott will remain to continue.

Biden also claimed Russia cannot defeat Ukraine and exceeds Ukraine.

He also said the situation is critical for the whole world and it would remain the same until Russia withdraws completely from Ukraine. He also criticized Putin for the rise in gasoline prices and Americans would have to suffer if this was necessary to get Russia totally out of Ukraine.

Biden had named this gasoline price hike “Putin’s Price Hike” because when Biden took charge gasoline prices were around $2 a gallon.

However, a large number of politicians, the general public, and even professional economists refer price increases as inflation. But in actuality, the price increase is the effect of the inflation of the supply of money and credit.

Even with Biden’s protestations, the spending policy has driven the rise in the general price level, because most of these expenses are paid by federal borrowing. As a result, Federal Reserve increases the supply of money and credit. Whenever it happens, the worth existing dollars go less and less, and in return goods and services cost more.  

To divert Americans’ anger over the high inflation, Biden not only blamed Russia but also argued that in every country prices are higher and America has a robust economy.

Even if Ukraine and Russia come to some sort of agreement to end the war, Americans should expect gasoline prices will remain higher.

It does not seem that Putin is going to withdraw from Ukraine completely until achieving some results that will be called its victory; Americans will suffer high gasoline prices.