Obama adviser tells New York Times that Democrats are likely doomed by inflation: 'Nothing can change'

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Democrats, Republicans spar on how to solve inflation crisis

Senior national correspondent Rich Edson reports on wholesale prices surging to a new 40-year high on 'Special Report.'

A former Obama economic adviser suggested to The New York Times on Thursday that Americans' negative views on inflation are so deeply engrained that there is nothing Democrats can do to change them.

Speaking with the newspaper, Jason Furman, who currently works as an economist at Harvard University, said that inflation is a "very negative thing" for Democrats, politically speaking. 

"My guess is that the negative views about inflation are so deeply baked in that nothing can change in the next few months to change them," he added. 

Meanwhile, Dean Baker, senior economist at the Center for Economic and Policy Research, warned that that midterm election campaign ads harping on inflation could actually see the country talk itself into a recession.

MCCONNELL: WHITE HOUSE 'DEFENDING THE INDEFENSIBLE' AS INFLATION SOARS TO 1981 FIGURES

People shop in a supermarket as rising inflation affects consumer prices in Los Angeles, California, U.S., June 13, 2022.  (REUTERS/Lucy Nicholson)

"The concern that I have is that you get inflationary expectations embedded in the economy and that leads to the wage-price spiral that we saw in the 70s. It becomes self-perpetuating," Baker said. 

Baker, along with other economists, expressed concern that a tense political battle over the topic may increase the difficulty of the central bank’s plan to cool off the economy without triggering a recession. Such a task becomes more cumbersome with higher consumer prices, spurred higher by political rhetoric. 

Regardless, prices are still continuing to trend upwards, with data released Wednesday showing a 9.1% inflation rate over the past year, hitting a new 40-year record. 

This data came after a recent a New York Times/Siena College poll, which saw the president sitting at a 33% approval rating. The poll showed that 64% of Democrats would prefer a new nominee in 2024. 

WHITE HOUSE ECONOMIC ADVISER: BIDEN FOCUSING ON ‘CLEAN ENERGY AGENDA’ BECAUSE OF INFLATION

US President Joe Biden, next to Annie Tomasini, Director, Oval Office Operations (R), speaks to reporters during the White House Congressional Picnic on July 12, 2022 in Washington, DC.  (Nicholas Kamm)

Furthermore, the poll also concluded only 13% of American voters believe the country is on the right track, with many signaling jobs and the economy was the most important issue facing America. Inflation and the cost of living sat not too far behind on the list. 

The Biden administration has attempted to deflect blame for inflation onto a variety of targets, oftentimes blaming the impact of the COVID-19 pandemic and Vladimir Putin’s war in Ukraine. 

On Sunday, Biden found a new subject to harp on as the cause of inflation, the Republican Party. 

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"Republicans are doing nothing but obstructing our efforts to crack down on gas-price gouging, lower food prices, lower healthcare costs, and hopefully, soon, lower your prescription drug costs," Biden tweeted. 

"This is not right. And that’s why this election is going to be so darn important."