Washington, DC – Last night, Congressman Frank Lucas (OK-03) joined Bloomberg Radio’s Sound On to discuss rising inflation, the Federal Reserve’s monetary policy, and the Biden Administration’s use of financial regulation to advance a social agenda on climate change.
Click here to listen to the full interview.
“I think Joe, we have to look at is BBB really paid for? We have to look at how is Treasury and the Fed going to respond to this dramatic increase in the debt ceiling? I mean, when we went from $20 trillion, at the beginning of COVID, to $29 trillion national debt now. That’s a huge amount of money pumped out into the economy- of course you’re going to have inflation.
But Joe, you can’t continue to create money, you can’t continue to pump up public debt forever. This has to come to a stop. In what fashion we get there? I do not know. I was a young farmer in college in the days of Mr. Volker under Jimmy Carter, and then Ronald Reagan. I remember paying 17% to buy cow feed when I was over collateralized. It is very, very stressful on the economy. And the bottom line is, how do you make sure that the capital markets can make rational decisions to allocate resources? Inflation distorts all of that. In many ways reminiscent of how the Biden Administration is trying to use regulatory forces to change how we produce and consume energy. This track we’re on- we have to get back to reality pretty soon.”
On Biden Administration weaponizing financial regulators:
“I’m an old school fella. I believe that the market economy is the best way to allocate resources. I believe interference from the federal government is how we create bad situations that are sometimes destructive beyond belief. I would like for the Administration to step back from this desire, energy in particular right now. When they can’t pass bills to turn off certain forms of energy and they can’t get their own Majority to pass bills to tax those forms out of existence, they want to use regulatory processes to say to industry, ‘You have to pretend that this is a bad decision.’ That’s distorting, that’s distorting the market.”