The American economy has been hit hard by Bidenomics, with inflation, high interest rates, and credit card debt on the rise. This has caused a lack of consistent savings for most Americans, leading to a decline in their standard of living.
Auto loans have been particularly affected, with upside-down auto loans reaching a new high, averaging $6,054 in November. High interest rates have also contributed to increased auto repossessions. Shockingly, rates for used cars averaged 11.6%, and new cars at approximately 7.4%.
These staggering numbers have left many Americans unable to keep up with their car payments, as the cost of living continues to rise. According to Zero Hedge, this has been attributed to “elevated inflation, a generational high in interest rates, maxed-out credit cards, lack of personal savings, and two years of negative real wage growth amid the mounting failures of ‘Bidenomics’.”
The number of Americans with auto loans “underwater” or “negative equity” in November reached an average of $6,054, the highest level since April 2020, according to automotive research firm Edmunds.com. This has put many Americans in a precarious financial position, especially as interest rates for car loans continue to rise.
With average car loans at about $40,000, combined with high interest rates and personal debt, Americans are finding it increasingly difficult to make ends meet in the current economy. Subprime auto loans that are 60+ days past due also rose to over 6% in September, the highest ever recorded.
The economic impact has been so severe that even President Biden himself is distancing from the term “Bidenomics,” and Democrats are growing reluctant to use a term they fear is backfiring.
The economic fallout of Bidenomics has even affected the holiday season, with the cost of a Christmas tree up about 10% this year compared to last year. The average price is now $80 to $100 per tree, according to the National and the American Christmas Tree Association.
In summary, Bidenomics has had a major negative impact on the American economy, affecting everything from auto loans to Christmas trees. The ripple effects of this economic downturn are being felt throughout the country, and many Americans are struggling to navigate these challenging financial times.
