Ep. 1354 - Biden Is Full Of Ship

Episode Summary

Executive Summary: The episode argues that Biden-era economic policy has produced persistent inflation, supply-chain gridlock, and labor shortages, while the White House downplays the crisis and blames private firms. It also warns that COVID policy and public-health messaging have encouraged fear and stagnation, and closes by alleging the Hunter Biden email scandal is drawing closer to Joe Biden himself.

Main Topics: Inflation and stagflation under the Biden administration (Priority: 5/5): Shapiro says September inflation confirms price spikes are not temporary and are eroding wages, savings, and consumer purchasing power. He frames the economy as entering stagflation, with the Fed likely forced to tighten policy. Supply-chain bottlenecks and port dysfunction (Priority: 5/5): The show argues that U.S. shipping problems stem from poor port management, union contracts, labor shortages, and weak logistics policy, not just the pandemic. Biden's 24/7 port announcement is portrayed as largely symbolic and ineffective. White House messaging and political damage control (Priority: 4/5): Jen Psaki and other officials are criticized for minimizing inflation and speaking in ways Shapiro says are detached from ordinary Americans' lived experience. The episode portrays the administration as trying to change the subject rather than solve the problem. COVID policy, public fear, and labor force effects (Priority: 4/5): Shapiro contends that public-health officials and Democrats prolonged fear, discouraged work, and created an expectation of eradication that is impossible. He argues this mentality contributes to labor shortages and weak economic recovery. Fed tapering and monetary policy (Priority: 4/5): The show says the Federal Reserve is preparing to taper bond buying because inflation has become persistent. Shapiro argues the Fed's ultra-loose policy helped create the current price surge and that tapering will expose Biden's economic weakness. Hunter Biden emails and ethical concerns (Priority: 3/5): The episode says new reporting suggests Joe Biden may be further entangled in Hunter Biden's finances, with shared bank accounts, bill payments, and business dealings raising conflict-of-interest questions.

Key Arguments: Inflation is no longer transitory; the September CPI report shows persistent, broad-based price increases affecting essentials like rent, food, vehicles, and appliances. Real wages are falling even amid nominal wage gains, meaning workers are losing purchasing power despite job-market claims of strength. The shipping crisis is aggravated by inefficient U.S. port operations, union restrictions, and labor shortages, especially at Los Angeles/Long Beach. Biden's 24/7 port plan is described as public-relations theater because the terminals, trucking, and warehouse ecosystem are not actually aligned to support full-time flow. White House officials are accused of being out of touch by focusing on year-over-year comparisons rather than the bills and budgets people face month to month. COVID fear messaging has become self-perpetuating and economically harmful, keeping people from returning to work and encouraging endless mitigation with no endpoint. The Fed's taper is framed as a necessary response to inflation, but one that will likely slow growth and worsen the administration's political problems. Hunter Biden-related emails and alleged shared finances suggest Joe Biden may have been more involved than previously acknowledged, deepening the scandal.

Data Points: Consumer Price Index (CPI) year-over-year: 5.4% - September inflation rate cited from the New York Times report CPI month-over-month: 0.4% - September increase from August to September Social Security COLA for 2022: 5.9% - Largest cost-of-living adjustment in 40 years Largest Social Security COLA since: 1982 (7.4%) - Historical comparison for the 2022 increase Real average hourly earnings month-over-month: +0.2% - September real wage change Real hourly earnings year-over-year: -0.8% - Real wages compared with one year earlier Real hourly earnings since January 2021: -1.9% - Change since Joe Biden became president Used car and truck prices year-over-year: +24.4% - Used vehicle prices remain sharply elevated New vehicle prices year-over-year: +8.7% - New cars are also more expensive Rental car/truck prices year-over-year: +43% - Cost of renting vehicles versus September 2020 Beef prices year-over-year: +17.6% - Food inflation example Fresh fish and seafood prices year-over-year: +10.7% - Food inflation example Major appliances prices year-over-year: nearly +10% - Durable-goods inflation example Furniture and bedding prices year-over-year: +11.2% - Durable-goods inflation example Owner-equivalent rent weight in CPI: nearly 1/4 of CPI - Why housing inflation matters going forward Case-Shiller home price index: nearly +20% year-over-year - Housing costs likely to filter into CPI later U.S. open jobs: 10.4 million - Used to illustrate labor shortages West Coast dockworker pay: $171,000/year plus free healthcare - Presented as evidence of costly union contracts Long Beach 24/7 pilot deliveries: zero deliveries - Wall Street Journal report on the extended-hours pilot Record ships idling offshore: 73 ships - Peak backlog at the Port of Los Angeles/Long Beach complex on September 19 Ships idling offshore at end of September: 64 vessels - Continued congestion after peak backlog Additional containers expected weekly under new hours: 3,500 containers - Administration estimate for nighttime operations Containers processed this week at L.A. port: almost 80,000 - Scale of current throughput compared with the promised increase Fed bond-buying reduction plan: $15 billion per month - Taper schedule discussed by Federal Reserve officials Fed taper conclusion target: by June 2022 - If the discussed schedule were followed Total children who died with COVID-19: under 600 - Used to argue children face comparatively low risk Children who died from COVID without significant pre-existing conditions: 10 to 20 - Cited from Dr. Marty McCary

Pivotal Quotes: "Inflation is no longer a temporary phenomenon. It is a near-permanent phenomenon." — Ben Shapiro: Opening economic argument on the persistence of inflation "Today's announcement has the potential to be a game changer." — Joe Biden: Biden's claim about expanded port hours and supply-chain relief "We're not going to be able to truly eliminate this highly transmissible virus." — Anthony Fauci: Fauci acknowledging that eradication of COVID is unrealistic

Implications: Listeners are urged to see inflation, ports, and COVID policy as linked failures of government management that will keep hurting wages, prices, and Biden's politics. The episode predicts more economic pain and mounting backlash if the administration stays on its current course.