President Biden has been touting his "Bidenomics" agenda at low-turnout campaign events nationwide. He has said his economic policies have been a boon for working poor and middle-class folks. But the words that come out of his mouth, directed mainly by his speech writers, are not rooted in reality. Disastrous Bidenomics, spending a trillion dollars every 100 days, has fueled persistently elevated inflation, crushing any positive real wage growth, thus forcing many low-income folks to deplete personal savings and rack up insurmountable credit card debt.
One major theme we've penned to pro subs in the last several months has been critical developments surrounding faltering low-income consumers, citing notes from Goldman's consumer desk and corporate America. Unlike Goldman, we haven't tried to walk back our rather pessimistic stance on the low-income consumer.
Goldman has finally come back around in its latest note, citing new data from HundredX that reveals the tale of two Americas. The report highlights the widening gap in price perception between upper-class cohorts and lower-income ones. This suggests that working poor folks are not weathering Biden's inflation storm equally, having depleted personal savings and amassed insurmountable credit card debt during the president's first term. In other words, while consumers in aggregate seem fine, under the surface, the stress is getting worse for working poor folks.
