What so many Americans don’t understand is that there is a difference between prices and inflation. Put simply prices are what goods sell for at a point in time and inflation is a measure of the growth of prices.

During the Biden years inflation, driven by massive Federal spending, was historically high. This resulted in the high prices we face today. Since Trump became president inflation has been tamped down resulting in much slower growth of prices.

But here is the key point, inflation, though now at an acceptable level, is still positive, indicating in the big picture no general retreat of the cost of living. Most Americans don’t grasp that, except on an individual basis, the prices we face today are not likely to return to pre-Biden levels. We may see reductions in specific areas such as meat and energy, but not across the board.

Now here is the danger to our economy. Democrats view the solution to the higher costs they caused through the lens of growing government spending. Their opening salvo in response to affordability has been the shutdown of government because they demanded continuing subsidy of Obamacare and the election of socialists in major cities.

How soon we forget. The fundamental cause of today’s higher prices was specifically expansive Federal spending during Biden’s term. If we cave in to the siren call of further increasing government spending as a solution to what was basically a one time cycle of price increases, we uncork the bottle and let the inflation genie escape.

The right approach is to resist quick fixes by exhibiting a bit of patience and let our otherwise booming economy drive personal incomes higher. That is, keep the cork on the inflation bottle by resisting demands for Federal spending while allowing incomes to catch up to prices.

Americans are not wont to have patience, so I doubt that my advice will be heeded. Thus I expect growing demands for quick fixes by government intervention. If we forget our recent economic history in this manner and our leaders succumb to those demands, the only outcome will be lower growth of incomes and higher inflation.