Friday, the House of Representatives passed $740 billion Inflation Reduction Act. This is a major legislative win for Democrats and President Joe Biden after a year of negotiation.
The legislation contains nearly $370 trillion in tax credits and green energy subsidies, as well as a scheme to fix the price of prescription drugs and an increase in corporate taxes. However, it is not expected that the Inflation Reduction Act will have any impact on inflation.
“I believe America needs a program that actually works,” House Majority Leader Kevin McCarthy stated in a speech on the floor, urging his fellow members to oppose the bill. Why would you pass an American Rescue Plan which caused inflation we’ve not seen since 41? What if the American fossil fuel that caused inflation that Americans hadn’t experienced in years? You keep harming Americans and think that doing exactly the same thing is an answer ?”
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McCarthy used the magic minute rule to talk for less than one hour. In November 2021, the Republican leader spoke for eight and a half hours. This was a record time in the chamber. The rule to speak was used by Majority Leader Steny Hoguer for over 20minutes.
The vote closes an almost immediate process, which began shortly after Congress adopted the American Rescue Plan. 2021. Independent Vermont Senator Bernie Sanders called for $6 trillion to be spent on healthcare and green energy. Sanders, along with the majority of Democrats, agreed to a $3.5 billion package. However West Virginia Senator Joe Manchin did not support such a large bill. *Manchin clashed publicly with the White House during December 2021, and January 2022,, leading many Democrats believe that reconciliation packages have no chance of being passed. Inflation, at 8.5% per year as of the end July, was repeatedly claimed by Manchin. Arizona Senator Kyrsten Sinema also refused to support a large spending bill.
.Manchin and Schumer continued secret negotiations in July. They announced the Inflation Reduction Act just after passing the Chips And Science Act. Sinema, however, also reached a deal. The Senate passed the legislation in a 51-50 party-line vote after a more than 15 hour-long debate and amendment process that ran all night Saturday, Aug. 6 into Sunday, Aug. 7.
