The cause of higher prices was the spending... From Trump and COVID to Biden and the infrastructure bill. The war in Ukraine which drove up food prices and oil prices. Then the Saudis not necessarily going along with the Biden Admins requests for oil.
The thinking goes that Trump and the GOP will gut the Federal Govt and the spending with it. Then Trump will give Ukraine to Putin solving the food growth and export problems with Ukraine. Then MBS in Saudi Arabia will be more than happy to accomodate requests for more oil.
All three will reduce inflation and lower prices. Who knows, it could go so far that four years from now voters are complaining about deflation.
This USA centric view doesn’t hold any water when you look at how much inflation there has been all over the west. If anything, you should find an explanation for why USA had lower inflation than many other countries.
- Gutting the Fed Gov doesn't bring down inflation or prices. These are not correlated issues.
- The US is a net exporter of oil, doesn't depend on the Saudis.
- "Giving Ukraine" to Putin won't happen, as much as Trump would like to help his buddy out, but because the EU won't let it, because Congress ultimately controls spending, not POTUS, and they're the ones (mostly the GOP) pushing for more military aid and a bigger budget (they upped Biden's military budget and aid to Ukraine). But even if Trump did drop all US military aid to Ukraine, the Ukraine won't just collapse, that would take time. And even if Russia did fully occupy Ukraine and "end" the war, that doesn't impact food prices in the US as food imports from the Ukraine are a tiny percentage of total food imports, very little impact. Sunflower oil, maybe.
These are not factors that will bring down prices.
Is there a citation for the US being a net exporter of oil? Last I checked, they were a net exporter of Gas, which is not the same as oil. Oil is refined to produce gas, and the US imports the majority of said oil.
Yes, for years now, the US has been the world's largest producer of crude petroleum because of the invention of hydraulic fracturing (fracking). Larger than Saudi Arabia.
The US still imports a lot of petroleum, but that is only because it has a comparative advantage in refining heavy crude. Most of the crude produced in the US is very light sweet crude, which is easier to refine. Some of that gets exported and refined overseas.
The thinking goes that Trump and the GOP will gut the Federal Govt and the spending with it. Then Trump will give Ukraine to Putin solving the food growth and export problems with Ukraine. Then MBS in Saudi Arabia will be more than happy to accomodate requests for more oil.
All three will reduce inflation and lower prices. Who knows, it could go so far that four years from now voters are complaining about deflation.