Bidenomics Is Having an Unusual Effect On Deficits: Karl Smith

Economists are playing a game of “can-you-top-this,” seeing who can ramp up their US economic growth forecasts the most. (Those at JPMorgan now predict a 3.5% annualized rate for the current quarter, up from the measly 0.5% they expected at the end of July). Many are saying that the recession most all of them predicted was imminent at the start of the year isn’t happening anytime soon. The White House says these are the fruits of “Bidenomics.” In reality, it’s more like a sugar high.

The hot economy may be getting all the attention, but the massive expansion in the ...