Robert Kiyosaki Blasts Biden and Harris — Claims Nobody Has 'Done More Damage' to the US Economy. Here Are the Facts
In a recent interview on Fox Business with host Neil Cavuto, renowned financial educator Robert Kiyosaki did not pull any punches when discussing the economic leadership of President Joe Biden and Vice President Kamala Harris. Kiyosaki, author of the bestselling book "Rich Dad Poor Dad," characterized their financial management as detrimental to the U.S. economy, even asserting that no one has done more harm than the current administration. Here’s a closer look at Kiyosaki’s claims and the facts that support the ongoing debate about U.S. economic policy.
The Case Against Biden and Harris
Kiyosaki's comments were triggered by a discussion about the relevance of cryptocurrency in today's financial landscape, particularly in reference to former President Donald Trump's appearance at a Bitcoin conference. "The reason I'm happy that Donald is speaking at the Bitcoin Conference is because, as you know, he's a genius with money, and Biden and Kamala are idiots with money,” Kiyosaki stated, unreservedly asserting that their financial decisions have had dire consequences for Americans.
This sentiment echoes a broader discontent among some economists and commentators about the fiscal policies enacted under Biden's leadership, prompting concerns about the nation’s rising debt and long-term economic stability. Kiyosaki emphasized that understanding and managing money well is critical, particularly in times of economic uncertainty.
The National Debt Dilemma
A significant component of Kiyosaki's criticism revolves around the growing national debt, which has ballooned to unprecedented levels under both the Trump and Biden administrations. During Trump's presidency, which spanned January 2017 to January 2021, the national debt surged by approximately $7.8 trillion, climbing from around $19.9 trillion to nearly $27.7 trillion. This increase can be attributed to several factors, including extensive tax cuts, heightened defense expenditures, and significant fiscal stimulus programs initiated in response to the COVID-19 pandemic.
Under Biden's leadership, this trend has persisted. As of the latest figures from the Treasury Department, the national debt stands at roughly $34.99 trillion. This substantial growth has largely been fueled by numerous stimulus packages aimed at promoting economic recovery from the pandemic-induced downturn. While proponents argue these investments in infrastructure, education, and social programs are vital for the nation’s long-term health, critics like Kiyosaki contend that the debt crisis is exacerbated by such heavy spending.
Economic Performance Under Scrutiny
Analysis of the economic performance during both administrations further complicates the narrative. Under President Trump, the U.S. experienced an annual GDP growth rate of approximately 2.6% in the initial three years, demonstrating a relatively stable economy. However, the pandemic precipitated a significant contraction in 2020, leading to a staggering 2.2% decrease in GDP as lockdowns and restrictions took their toll.
Following the inauguration of Biden, the economic landscape showcased signs of recovery. The U.S. GDP grew impressively by 5.8% in 2021, as the country rebounded from the coronavirus-related downturn. By 2022, the growth tempered to 1.9%, with preliminary indicators for 2023 revealing a continuation of growth at a rate of 2.5%. These figures highlight the resilient nature of the economy post-pandemic, yet inflationary pressures and rising interest rates remain formidable challenges that fuel ongoing debates about fiscal policies.
Employment Trends and Labor Market Dynamics
Employment statistics further illustrate the complexities of economic management during these two administrations. Under Trump, the average unemployment rate hovered around 4%, plummeting to a historic low of 3.5% by February 2020, just prior to the pandemic. The early months of COVID-19 saw unemployment spike dramatically to nearly 15% in April 2020.
Biden took office in January 2021 amid an economy still grappling with recovery, facing a 6.4% unemployment rate. Nevertheless, his administration has made strides in reducing unemployment, with rates dropping to 3.4% by January 2023—the lowest level since 1969. As of June 2024, the rate has adjusted to around 4.1%, underscoring a fluctuating recovery marked by challenges that continue to affect American workers.
Concluding Thoughts
Robert Kiyosaki's critique of Biden and Harris encapsulates a growing discontent among various sectors of the populace about the economic direction of the United States. While it’s evident that both administrations have contended with significant challenges regarding national debt and economic recovery, the solutions and policies undertaken reveal diverging philosophies about fiscal responsibility and strategic investment.
As Kiyosaki suggests, the philosophical underpinnings of economic management, particularly regarding sound money principles and asset diversification, remain crucial to addressing the pressing financial issues facing the nation. The debate surrounding U.S. economic health will undoubtedly persist as voters and policymakers navigate the dynamic financial landscape in the years to come.