U.S. President Joe Biden speaks at the Volvo Group Powertrain Operations plant in Hagerstown, Maryland, U.S., October 7, 2022.
Elizabeth Frantz | Reuters
President Joe Biden on Saturday phoned British Prime Minister Liz Truss’ Abandoned tax cut plan a “mistake” and said he worries that other countries’ fiscal policies could hurt the US amid “worldwide inflation.”
Mr Biden said it was “predictable” that the new prime minister on Friday was forced to roll back a plan to drastically cut taxes without identifying cost savings, after Truss’ proposal caused turmoil in the market. global financial school. It marked an unusual criticism by an American president of the domestic policy decisions of one of its closest allies.
“I’m not the only one who thinks it was a mistake,” Biden said. “I don’t agree with this policy, but that’s up to the UK.”
Biden’s comments come after weeks of White House officials refusing to criticize Truss’ plans, though they stressed that they were closely monitoring the economic downturn. He was speaking to reporters at an ice cream parlor in Oregon, where he made an unannounced stop to promote the candidacy of Democratic candidate Tina Kotek, as Democrats across The country faces a difficult political environment amid criticism of the GOP’s handling of its economy.
Biden said he is not concerned about the strength of the dollar – it has set new records against the British Pound in recent weeks – which has benefited US imports but made US exports worse. This becomes more expensive for the rest of the world.
The president said the US economy was “strong as hell.”
“I’m concerned about the rest of the world,” he added. “The problem is the lack of economic growth and sound policy in other countries.”
Biden said: “It’s inflation around the world, that’s the aftermath.”
