On the newscast on Wednesday's Newsmax television show “Prime News,” Sen. Rand Paul (R-KY) was reacting to the news report that, because of inflation, households will need to spend an extra $11,500 to keep an equivalent standard of life. He did this by saying that “now we've lost more to inflation than they gave us in the form of free money.” They also forecast that, due to being that not every coronavirus relief fund has been used, there is a likelihood of more inflation once the money is released into the market.
Paul stated, “What we know for sure is that we've suffered more from inflation than they have given us with money that was free. The cause of the inflation was the checks that were free and issued. The economy was shut down. They distributed free checks to everybody. They said that this would help. But what do you know? When people totalize the cost of gas and groceries then it's all the money that's free. It's not like inflation is over by an insignificant amount. There's still a lot of money available in the bank accounts of cities, counties, and state governments that hasn't been tapped yet. When it's spent and invested in the economy, and is chasing goods, it's going to push the cost of our goods up. We'll see an increase in inflation, and the cycle isn't finished.”