Since Bernanke, Inflation Increases 43% More Under Obama Than Bush

October 30, 2013 - 6:49 PM

Obama Health Care

President Barack Obama (AP Photo/Charles Dharapak)

(CNSNews.com) - Since Ben Bernanke has been in control of the Federal Reserve, inflation has increased 43%  more under President Barack Obama than George W. Bush, according to data from the Bureau of Labor Statistics (BLS).

“Inflation can be defined as the overall general upward price improvement of goods and services in an economy,” the BLS said.

By evaluating the Consumer Price Index (CPI) data, increases in inflation can be evaluated. The CPI is "a measure of the average change over time in the prices paid by urban consumers for a market basket of consumer goods and services," states the BLS.

When Bernanke first took control of the Federal Reserve in 2006 while Bush was in office, the annual average CPI for all urban consumers was 201.6. When Bush left office in 2009, the annual average CPI rose to 214.537, a 6.4% increase.

Since that time, while Obama has been in office, inflation has increased by 9.14%. The most recent CPI data, released on Oct. 30, 2013 finds that the October average for CPI is 234.149.

The percentage increase from 6.4% to 9.14% is 42.81% or, rounded, 43%.

Earlier this year, the Fed began pumping billions into the economy with its $85 billion-per-month program of quantitative easing.

“However, the Fed realizes that printing billions of new dollars each month could raise inflation in the future, which is what Bernanke means by weighing the benefits of lower unemployment with the costs of possibly higher inflation,” CNSNews.com reported earlier this year.