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      Fact-Checking a GOP Attack Ad That Blames a Democrat for Inflation

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      In a Nevada tossup race that could help decide whether Republicans gain control of the House, a super PAC aligned with congressional G.O.P. leaders recently mounted an economically driven attack against Representative Dina Titus.In a 30-second ad released on Saturday, the Congressional Leadership Fund accused Ms. Titus, a Democrat who represents Las Vegas, of supporting runaway spending that has exacerbated inflation.Here’s a fact check.WHAT WAS SAID“Economists said excessive spending would lead to inflation, but she didn’t listen. Titus recklessly spent trillions of taxpayer dollars,” the ad’s narrator says, and, later: “Now we’re paying the price. Higher prices on everything. Economy in recession. Dina Titus. She spent big … and we got burned.”This lacks context. The implication here is that Democrats’ policies led to inflation. We recently put this question to our economics correspondent, Ben Casselman, who said: “True, although we can argue all day about how much.”He explains: “Here’s what I think we can say with confidence: Inflation soared last year, primarily for a bunch of pandemic-related reasons — snarled supply chains, shifts in consumer demand — but also at least in part because of all the stimulus money that we poured into the economy. Then, just when most forecasters expected inflation to start falling, it took off again because of the jump in oil prices tied to the war in Ukraine.The State of the 2022 Midterm ElectionsWith the primaries over, both parties are shifting their focus to the general election on Nov. 8.A Focus on Crime: In the final phase of the midterm campaign, Republicans are stepping up their attacks about crime rates, but Democrats are pushing back.Pennsylvania Governor’s Race: Doug Mastriano, the Trump-backed G.O.P. nominee, is being heavily outspent and trails badly in polling. National Republicans are showing little desire to help him.Megastate G.O.P. Rivalry: Against the backdrop of their re-election bids, Gov. Greg Abbott of Texas and Gov. Ron DeSantis of Florida are locked in an increasingly high-stakes contest of one-upmanship.Rushing to Raise Money: Senate Republican nominees are taking precious time from the campaign trail to gather cash from lobbyists in Washington — and close their fund-raising gap with Democratic rivals.“Now, inflation is falling again. Overall consumer prices were up just 0.1 percent in August, and a separate measure showed prices falling in July. But a lot of that is because of the recent drop in gas prices, which we all know could reverse at any time. So-called core inflation, which sets aside volatile food and energy prices, actually accelerated in August.“All of which means we don’t know how long the recent pause in inflation will last, and we definitely don’t know whether Biden will get credit for it if it does.”Backing up a bit, it’s worth noting that not all of the stimulus spending was at the direction of President Biden and Democrats. The first two rounds were approved during the Trump administration. And, economists were not united in warning about inflation.As for the economy being in recession? “Most economists still don’t think the United States meets the formal definition,” Mr. Casselman wrote in July, and he said that remained true as we head into October. But such calls are only made in retrospect. “Even if we are already in a recession, we might not know it — or, at least, might not have official confirmation of it — until next year,” Mr. Casselman said.What was said“Tax breaks for luxury electric cars.”This is true. The Inflation Reduction Act contains a tax credit for electric vehicles. Their final assembly must be completed in North America to be eligible for the credit, which, indeed, extends to several luxury automakers. The list includes Audi, BMW, Lincoln and Mercedes, but also non-luxury models like the Ford Escape and Nissan Leaf. What about Tesla? It made the list of 2022 models, but it has already reached a federal cap of the number of vehicles eligible for the credit, according to the Energy Department.What was said“Even a billion dollars to prisoners, including the Boston Bomber.”This is exaggerated. Dzhokhar Tsarnaev, who was convicted of helping carry out the 2013 Boston Marathon bombings, received a $1,400 Covid-19 stimulus rebate from the federal government in June 2021. The money was part of the American Rescue Plan Act, which President Biden signed into law after it passed the House on a mostly party-line vote, with Ms. Titus supporting it.But what the Republican attack ad failed to disclose was that Mr. Tsarnaev was required by a federal judge to return the money as part of restitution payments to his victims. Another glaring omission was the fact that inmates were previously eligible for Covid-19 relief payments when former President Donald J. Trump was in office, though the Internal Revenue Service and some Republicans had later tried to rescind the payments. A federal judge thwarted those efforts, ruling that inmates could keep the payments.Those nuances haven’t stopped Republicans from latching onto the issue of inmates receiving Covid-19 payments against Democrats in key races across the nation, including Senator Raphael Warnock of Georgia and Senator Mark Kelly of Arizona. More

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      Is It the Gas Prices, Stupid?

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      A simpler explanation for a Democratic turnaround.Democratic fortunes have improved markedly over the last few months, with the party overtaking Republicans on the generic congressional ballot in the aftermath of the Supreme Court’s decision to overturn Roe v. Wade.But there’s another, simpler explanation for a Democratic turnaround, one that lines up nearly as well as abortion: gas prices.The price of gas fell for 98 straight days beginning June 14 — 10 days before the court’s Dobbs decision on Roe. At the time, the average price of gas nationally was over $5 per gallon. Prices were at $3.67 by the end of the streak.While few would dispute that the Dobbs decision helped energize Democratic voters, it seems clear that falling gas prices have helped as well. After all, voters say that the economy and inflation — not abortion — are the most important issues facing the country. There’s a longstanding relationship between economic performance and the president’s standing. As James Carville once said: It’s the economy, stupid.So is it the gas prices, stupid? It’s hard not to wonder after looking at this chart by my colleague Francesca Paris.Tracking Biden’s approval and gas prices More

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      Democrats Are Starting to Feel Hopeful About the Midterms. Should They?

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      Illustration by The New York Times; images by Olivier Douliery, Anna Moneymaker and Andrii Shyp, via Getty ImagesThis article is part of the Debatable newsletter. You can sign up here to receive it on Wednesdays.Just a couple of months ago, Democrats’ prospects heading into the November elections looked, if not quite doomed, then decidedly dour: Not only do Americans tend to swing against the president’s party in the midterms, but President Biden was also presiding over the worst spate of inflation in four decades and his approval ratings over the summer had plunged to the lowest of any elected president at that point in his term since the end of World War II, according to FiveThirtyEight.But the national political environment has changed: Since July, Biden’s approval rating has risen by five percentage points and Democrats have gained around a net three percentage points in the generic ballot, which asks whether voters would prefer Democrats or Republicans to control Congress, overtaking the Republican Party’s lead.What are some of the issues that voters care most about, and how might the parties’ recent rhetorical and legislative handling of them be driving the race? Here’s what people are saying.AbortionWhen the Supreme Court overturned Roe v. Wade in June, there was a great deal of speculation among poll watchers and pundits about whether the abrogation of the constitutional right to abortion would redound to the Democratic Party’s benefit, potentially boosting turnout and swinging independents who might otherwise vote for Republicans.Shortly before the decision was handed down, but weeks after a draft of it had been leaked, the Times columnist Michelle Goldberg didn’t find much evidence to support this theory: “I don’t know that I’ve seen a new influx of energy,” Samhita Mukhopadhyay, the co-editor of “Nasty Women: Feminism, Resistance and Revolution in Trump’s America” and the former executive editor of Teen Vogue, told her. “It’s surprising. There were marches, but it wasn’t the level of activism that we saw a couple of years ago with Black Lives Matter or even the Women’s March.”In the months since, though, there have been signs that the curtailment of abortion rights has moved the needle: In an August poll, Gallup found that abortion had climbed on Americans’ list of “most important problems” facing the country, ranking behind only economic concerns and more general issues of government and leadership. What’s more, according to a Times analysis, Roe’s overturning was followed by a surge in voter registration among women in 10 states with available data, including Kansas, where strong turnout in an August primary helped defeat a referendum that would have effectively ended abortion rights in the state.Because most Americans favor at least some abortion rights, many Republicans have tried to avoid making abortion a central campaign issue, emphasizing instead that the matter has been returned to the states. But that rhetorical posture became much harder to maintain last week, when Senator Lindsey Graham, Republican of South Carolina, proposed a federal ban on the procedure after 15 weeks of pregnancy — “to cringes from many of his Republican colleagues,” The Times’s Carl Hulse reported.In the view of The Wall Street Journal’s editorial board, renationalizing the question of abortion regulation could be a risky political gamble for Republicans: “By Mr. Graham’s political logic, if voters in Colorado, Pennsylvania or Arizona think 15 weeks is too restrictive, they now have a reason to vote against those G.O.P. Senate candidates. Every Republican candidate will be asked to take a stance, and a Senate majority is made by swing states.”InflationPoll after poll after poll has found that inflation remains voters’ top concern heading into November. And while July’s Consumer Price Index report suggested that inflation had peaked, the August report suggested that it was not cooling as quickly as the White House and many economists had forecast. The price of rent and some food items actually increased between July and August, and workers lost buying power over the last year as prices increased faster than wages.These would be problems for any party in power during an election year, much less one whose leader has boasted of delivering wage gains. “Citizens of countries suffering from inflation have routinely sought to assign blame — to the government, to greedy companies or to politicians,” The Times’s Jonathan Weisman wrote last week of the Republican campaign strategy to blame Democrats for inflation. “Inflationary periods often yield labor strife, as workers and unions press for wage increases to keep up with rising prices, point fingers at ‘price-gouging’ companies and, more than anything, rage at those in power.”At the same time, some Republican officials have become concerned that inflation may no longer be the electoral clincher they had hoped for: Gasoline prices have fallen 26 percent from the record above $5 a gallon set in June, and consumer sentiment has improved as a result. The Federal Reserve Bank of New York reported this month that consumer inflation expectations were also falling, with households now expecting gas prices to be roughly unchanged a year from now.If inflation is indeed sinking in salience, some conservatives believe that Republicans will regret not elevating other issues like school curriculums, crime and immigration, Gabby Orr reported for CNN. “Our closing pitch must be compelling enough to make Republicans want to vote,” a Senate campaign aide told her. “‘It’s the economy, stupid’ no longer fits into that category.”Student debt reliefWhen Biden made the decision in August after months of lobbying to wipe out up to $20,000 of student loan debt for tens of millions of low- and middle-income Americans, it was in part because his chief of staff, among others, had argued that the relief could endear the administration to younger voters — an age group that, while more Democratic-leaning than any other, had broadly soured on the president.“It certainly energizes young people and people with student loan debt, which also includes many Republicans,” Andre Perry, a senior fellow at Brookings, told NPR. “Overall, it’s a political win for Biden because he’s delivering on his promises, he has a chance to pick up on some moderate Republicans who have debt.”This read of Biden’s debt jubilee is shared even by some of his political enemies:But Philip Bump wrote for The Washington Post that, so far, there are no obvious signs that young people will reward Biden for the relief plan, which hasn’t yet taken effect. In approval rating polls since August, “when we look at Americans under 30 — the group with the most debt — there’s been little to no movement at all,” he noted.Nor, as Vox’s Christian Paz pointed out, does the relief plan seem to be making much of an impression with independent voters, who polls have suggested are divided on the issue. “Ultimately, the policy might have had the effect of stopping the bleeding of support that Biden and Democrats were experiencing among their base,” he wrote. But, he added, “What is apparent is that Biden’s action is not as popular with the kind of voter that tends to matter in midterm elections in swing states: older white Americans and independents.”The polling wild cardThe polling profession entered something of a legitimacy crisis after the 2016 presidential election that only deepened in 2020, as this newsletter has explored, and there’s good reason to be wary of the polling data we’ve seen so far in 2022: As Nate Cohn, The Times’s chief political analyst, noted last week, Democratic Senate candidates are outrunning expectations in the same places where the polls overestimated Biden in 2020 and Hillary Clinton in 2016, raising the possibility that the party’s supposedly favorable odds of retaining Senate control are an illusion.Polling mistakes matter not just because they can give pundits and readers a false impression of how an election might turn out; as Dan Pfeiffer, a senior adviser to Barack Obama, wrote in his newsletter last weekend, they can also change the outcome of the election itself, because campaigns, national party committees and super PACs rely on polling to make decisions about where to direct their efforts and funds.But Pfeiffer (and Cohn, too) sees evidence that the polls might actually be right this time around: Polls were more accurate in the 2018 midterms than they were in the 2020 presidential race, and recent special elections — including one that resulted in the pickup of a House seat in Alaska — have been encouraging for Democrats.Their predictive function (or dysfunction) aside, polls can also be useful for revealing trends in public opinion and voter behavior. In 2016, for example, pre-election polls accurately showed that Donald Trump was making huge gains among white voters without college degrees, and in 2020 they showed that he was also making gains among Hispanic voters. Even when polls miss on the horse race, Cohn noted this week, “these trends uncovered by polls continue to have import.”Do you have a point of view we missed? Email us at debatable@nytimes.com. Please note your name, age and location in your response, which may be included in the next newsletter.READ MORE“Are the Polls Wrong Again?” [The New York Times]“Will Abortion Affect the Midterm Vote for Candidates? Lessons From the Ban Gay Marriage Ballot Initiatives” [The Brookings Institution]“Two Months That Turned the 2022 Midterms on Their Head” [The Cook Political Report]“America’s Dueling Realities on a Key Question: Is the Economy Good or Bad?” [The New York Times]“Four Types of Voters We’re Watching in the Midterms” [The New York Times]What’s at stake for you on Election Day?In the final weeks before the midterm elections, Times Opinion is asking for your help to better understand what motivates each generation to vote. We’ve created a list of some of the biggest problems facing voters right now. Choose the one that matters most to you and tell us why. We plan to publish a selection of responses shortly before Election Day. More

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      Inflation Remains Voters’ Top Concern. Can Republicans Keep Their Focus?

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      Democrats and Republicans are running parallel campaigns, with one party emphasizing abortion and democracy, the other inflation and the economy — and both talking past each other.Zach Nunn, an Iowa Republican challenging one of the House’s most vulnerable Democrats, had been talking for months about rising prices when a Texas congressman two weeks ago invited him to visit the Mexican border — to see the fentanyl confiscated, hear tales of dying migrants and witness overwhelmed border agents.Mr. Nunn took it all in, he said. Then, he went back to a district that stretches from Des Moines to the Missouri line to talk about inflation some more.“You know, from knocking on 10,000 doors, what people are interested in,” Mr. Nunn said. It would not matter, he said, if he were speaking in Clarinda, Iowa — a city of 5,300 — or West Des Moines, a city of 70,000. “People are all talking about what is going on with the economy,” he said.In the six-month primary season that came to a close on Tuesday, issues like abortion, crime, immigration, the Jan. 6 attack on the Capitol, and Donald J. Trump have risen and fallen, but nothing has dislodged inflation and the economy from the top of voters’ minds. On Wednesday, polls out of Wisconsin and Georgia again found inflation to be the issue of greatest concern.A New York Times/Siena poll released on Friday had bright spots for Democrats, but 49 percent of respondents said that “economic issues such as jobs, taxes or the cost of living” were likely to determine their votes in November, compared with 31 percent who saw “societal issues such as abortion, guns or democracy” as decisive. And 52 percent of registered voters said they agreed with Republicans on the economy, versus 38 percent who said they agreed with Democrats.“People are all talking about what is going on with the economy,” said Zach Nunn, a Republican candidate for a House seat in Iowa.Bryon Houlgrave/The Des Moines Register, via Associated PressAnd Republican candidates aren’t letting go.“Inflation is now high enough to rob every working American of a month’s pay over the course of a year,” said Tom Barrett, a Michigan state senator challenging Representative Elissa Slotkin, a Democrat, in a Republican-leaning district around Lansing.Representative Nancy Mace, Republican of South Carolina, released her first advertisement of the general election on Thursday — and it focused solely on inflation.“I’m Nancy Mace, and I have had it with crazy inflation,” she says to the camera as she counts up the cost of cooking an eggs-and-bacon breakfast. (Milk, $4 a gallon, a dozen eggs, nearly $4, and bacon, $8 a pack.)For all the losers in an inflationary economy, there are also winners: people with large mortgages or student loan burdens that shrink away in real terms; workers whose wages suddenly rise, sometimes enough to keep pace with prices; frugal seniors who enjoy Social Security cost-of-living increases tied to the inflation rate and higher interest rates on their savings accounts.The State of the 2022 Midterm ElectionsWith the primaries over, both parties are shifting their focus to the general election on Nov. 8.Echoing Trump: Six G.O.P. nominees for governor and the Senate in critical midterm states, all backed by former President Donald J. Trump, would not commit to accepting this year’s election results.Times/Siena Poll: Our second survey of the 2022 election cycle found Democrats remain unexpectedly competitive in the battle for Congress, while G.O.P. dreams of a major realignment among Latino voters have failed to materialize.Ohio Senate Race: The contest between Representative Tim Ryan, a Democrat, and his Republican opponent, J.D. Vance, appears tighter than many once expected.Pennsylvania Senate Race: In one of his most extensive interviews since having a stroke, Lt. Gov. John Fetterman, the Democratic nominee, said he was fully capable of handling a campaign that could decide control of the Senate.Even so, inflation has had outsize potency as a political issue for at least a century — and since hyperinflation after World War I helped usher in authoritarianism across Europe, few issues have been quite so politically destabilizing.In the mid-1990s, Robert J. Shiller, a Nobel Prize-winning economist at Yale who was puzzled by the power of inflation as a disruptive force, surveyed people in the United States, Germany and Brazil to determine why inflation had always produced so much anger, wounded national pride and a feeling that an unwritten social contract between citizens and their government had been broken.Facing deep feelings of insecurity, anxiety and unfairness, “not a single respondent volunteered anywhere on the questionnaire that he or she benefited from inflation,” he marveled.Representative Nancy Mace released her first ad of the general election last week, focusing on the economy. “I’m Nancy Mace, and I have had it with crazy inflation,” she says in the ad.Allison Joyce/Getty ImagesFor Republicans seeking control of Congress, that history still could prove determinative, even as Democrats try to center their campaigns on abortion rights and democratic pluralism and Republican strategists test other themes, like crime, the border and Democratic “radicalism.”Representative Kim Schrier, a Democrat in the suburbs of Seattle who is locked in a tossup contest for re-election, has gone after her Republican opponent, Matt Larkin, on abortion, using her background as a physician to press a persona of earnest trustworthiness. Democratic campaign officials in Washington, D.C., have accused Mr. Larkin of questioning the election results of 2020 and refusing to acknowledge President Biden as legitimately elected.Mr. Larkin’s response? The price of eggs, “up 52 percent in Washington State,” he said Thursday, and milk, “way, way up in the Eighth District.”.css-1v2n82w{max-width:600px;width:calc(100% – 40px);margin-top:20px;margin-bottom:25px;height:auto;margin-left:auto;margin-right:auto;font-family:nyt-franklin;color:var(–color-content-secondary,#363636);}@media only screen and (max-width:480px){.css-1v2n82w{margin-left:20px;margin-right:20px;}}@media only screen and (min-width:1024px){.css-1v2n82w{width:600px;}}.css-161d8zr{width:40px;margin-bottom:18px;text-align:left;margin-left:0;color:var(–color-content-primary,#121212);border:1px solid var(–color-content-primary,#121212);}@media only screen and (max-width:480px){.css-161d8zr{width:30px;margin-bottom:15px;}}.css-tjtq43{line-height:25px;}@media only screen and (max-width:480px){.css-tjtq43{line-height:24px;}}.css-x1k33h{font-family:nyt-cheltenham;font-size:19px;font-weight:700;line-height:25px;}.css-ok2gjs{font-size:17px;font-weight:300;line-height:25px;}.css-ok2gjs a{font-weight:500;color:var(–color-content-secondary,#363636);}.css-1c013uz{margin-top:18px;margin-bottom:22px;}@media only screen and (max-width:480px){.css-1c013uz{font-size:14px;margin-top:15px;margin-bottom:20px;}}.css-1c013uz a{color:var(–color-signal-editorial,#326891);-webkit-text-decoration:underline;text-decoration:underline;font-weight:500;font-size:16px;}@media only screen and (max-width:480px){.css-1c013uz a{font-size:13px;}}.css-1c013uz a:hover{-webkit-text-decoration:none;text-decoration:none;}How Times reporters cover politics. We rely on our journalists to be independent observers. So while Times staff members may vote, they are not allowed to endorse or campaign for candidates or political causes. This includes participating in marches or rallies in support of a movement or giving money to, or raising money for, any political candidate or election cause.Learn more about our process.Voters, he said in an interview, “are very, very concerned.”And, in a country where one party controls the House, the Senate and the White House — and in a state where Democrats control pretty much everything — “there’s also a sense that the Democrats in general are doing this,” Mr. Larkin added.That, too, is consistent with economic history: Citizens of countries suffering from inflation have routinely sought to assign blame — to the government, to greedy companies or to politicians. Inflationary periods often yield labor strife, as workers and unions press for wage increases to keep up with rising prices, point fingers at “price-gouging” companies and, more than anything, rage at those in power.Labor leaders marching against inflation at a demonstration in Buenos Aires in August.Juan Mabromata/Agence France-Presse — Getty ImagesRichard M. Nixon’s 1968 victory over Hubert Humphrey is popularly attributed to the Vietnam War and domestic unrest, but inflation was a “top three” issue, even though price increases were a relatively mild 4.27 percent, said Jason Furman, a Harvard economist with deep connections to the national Democratic Party.Gerald R. Ford’s defeat in 1976 is often ascribed to the hangover from Watergate, but his WIN (Whip Inflation Now) buttons became an object of ridicule in a year in which inflation was still pushing 6 percent. Four years later, Jimmy Carter’s dreams of a second term were vaporized by 13.5 percent inflation.And in 1982, as the Federal Reserve was engineering a recession to finally get control of price gains and Ronald Reagan was absorbing the blame, Democrats beat Republicans by nearly 12 percentage points in the midterm elections — and padded their House majority by 27 seats.“From bitter historical experience, we know how quickly inflation destroys confidence in the reliability of political institutions and ends up endangering democracy,” Helmut Kohl, the chancellor of Germany, said in 1995, harking back to the hyperinflation of the Weimar Republic.In 2022, Republicans like State Senator Jen Kiggans, who is challenging Representative Elaine Luria in southeast Virginia, are using inflation not only to go after the party in power, but also to deflect Democratic charges of “radicalism” by portraying themselves as ordinary family folks, in touch with consumer reality.For voters, however, the signals from the actual economy are mixed. The official inflation report last Tuesday showed that prices in August rose 8.3 percent from a year earlier, only slightly better than July’s 8.5 percent. But because of rapidly falling gasoline prices, overall consumer costs from the month before rose a barely noticeable 0.1 percent. Prices at the pump, the most visible inflationary signal to consumers, are expected to continue their fall in the weeks leading up to the election. That could offer at least psychological relief to consumers — and Democrats — as other cost-of-living indicators like food and rent send stock traders and the Federal Reserve running for shelter.Gasoline prices are expected to continue falling in the weeks leading up to the November elections.Carlos Bernate for The New York Times“If you’re going to have 8 percent inflation over the year before up to the election, you’d like to have the last three months at zero, so the sequencing is about as good as it could be” for Democrats, Mr. Furman said.Mr. Barrett conceded that these fresh signals could blunt the political impact. “To some degree, they boiled the frog, then turned the temperature down a notch on the stove,” he said, “but it’s still raging hot.”And his Democratic opponent, Ms, Slotkin, has taken pains to address the issue, too, ticking off legislation and administrative actions that she said she supported to address inflation. They include suspending the federal gas tax, releasing oil from the strategic petroleum reserve, pressing companies on “price gouging” and granting Medicare the authority to negotiate drug prices.“Certainly if there was a silver bullet to fix it, it would have been fired,” she said, adding, “leaders need to do all they can — not just use it as a political issue.”Republicans say that, as children go back to school, higher prices on clothes, food and school supplies will come more into focus, and cold weather will bring the sticker shock of soaring heating bills. The disorienting power of price increases is all the more potent, experts say, because Americans have not weathered them in four decades.Democrats hope to turn voters’ minds elsewhere. On the lengthy “issues” web page of Mr. Nunn’s opponent, Representative Cindy Axne, the word inflation does not appear, though she does mention inflation in one campaign ad as being among a litany of travails hitting Iowans recently. In another ad, Ms. Axne acknowledges that “rising costs are hurting Iowa families everywhere.”Representative Cindy Axne mentioned inflation in one campaign ad, among a list of problems facing Iowans.Cheriss May for The New York TimesOn Friday, Emilia Sykes, the Democratic candidate for an open House seat in northeast Ohio, released a new ad saying she has “a plan to lower costs,” though she avoided the word inflation.Elsewhere, Democrats are focusing almost exclusively on abortion, democracy and the overall theme that Republicans who have undermined the integrity of elections and democratic institutions cannot be trusted with power.In that sense, the parties are entering the final sprint to Nov. 8 largely talking past each other.But the unique ability of inflation to anger voters and undermine authorities in power should not be underestimated, economists say. Wage increases, though stronger than they have been in years, have not kept pace with inflation this year, but in 2021, when voters’ anger showed up most clearly in polling, average family incomes “far exceeded” price gains, thanks in large part to temporary tax cuts and income supplements approved in successive pandemic-relief measures, said Austan Goolsbee, a University of Chicago economist.“Average actual real incomes went up, not down,” he said, “so it’s still a puzzle.”For Republicans, there is no mystery, only the challenge of staying on the issue as Democrats try to direct voters’ attention anywhere else.“This stuff is real,” Mr. Barrett said on Thursday. “The Democrats are whistling past the graveyard.” More

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      Is the Democratic Midterm Surge Overrated? Why Republicans Can Still Win the House and Senate.

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      Ross Douthat, a Times Opinion columnist, hosted an online conversation with Kristen Soltis Anderson, a Republican pollster, and the conservative writer and radio host Erick Erickson, to discuss whether Republicans are blowing the fall campaign — or whether a red wave is still possible.Ross Douthat: Kristen, Erick, thanks so much for joining me. Let’s start with the big picture. From early 2022 through the middle of the summer, Republicans consistently led the generic ballot for Congress, by around two and a half points. Today, the same generic ballot is either tied or gives Democrats a slight edge. Kristen, what changed?Kristen Soltis Anderson: The biggest thing that I’ve seen shift is enthusiasm on the Democratic side. During the winter and spring, Republicans had an advantage when voters were asked how motivated they were to vote. Key parts of the Democratic coalition were just not as tuned in or interested in participating.That’s a relatively normal dynamic in a midterm year, but the last two or three months have seen Democrats close that enthusiasm gap.Erick Erickson: I underappreciated how much the Dobbs decision would play a role in that.But the RealClearPolitics polling averages go back about two decades. For midterm elections where Republicans have done well, at this time of year, the polling has narrowed. Tom Bevan of RealClearPolitics had a good piece on it last week. I actually told my radio listeners that we should expect a tying of the generic ballot in August, and here it is. I would wait to really assess the direction of the race until late September.Douthat: If we assume Dobbs has boosted Democratic enthusiasm, Kristen, how heavily should we weight that effect relative to, say, falling gas prices?Anderson: The Dobbs decision was the big turning point. It has been less about changing voters’ minds from Republican to Democratic and more about activating voters who might have been tuned out and less engaged. It has also given Democrats a message to run on that changes the topic from inflation and gas prices. I still see the economy as a huge driver of this midterm, which is why I still think at this point Republicans are in an OK position. But there’s a reason Democratic candidates have been running ads about abortion.Douthat: Erick, you just said you might have underestimated the Dobbs effect. Do you think G.O.P. politicians were actually prepared to have abortion back in democratic debate?Erickson: I have been more than a bit perplexed at the G.O.P.’s surprise over the Dobbs decision, considering it leaked weeks before it was official. They had time to prepare for it and find some common ground and never seemed to get on the same page. By not being prepared, they allowed more aggressive voices on the issue to spook voters. When you have loud voices in the G.O.P. start talking about making abortion a criminal offense after Dobbs, that tends to spook people.Still, I do continue to think the economy is going to be disproportionately at play in the election. As Kristen said, more Democrats will turn out than otherwise would have pre-Dobbs, but the G.O.P. should be OK if the party focuses on the economy and inflation.Douthat: Well, unless inflation continues to diminish, right? It seems like Republicans have pushed a lot of chips onto that issue. Do you both think the G.O.P. needs a highly inflationary economy or a potential recession to win Congress this fall?Anderson: I’m certainly not rooting for a bad economy. But there is typically a link between people’s perceptions of the economy and their willingness to stick with the party in power. It is worth noting that inflation and rising gas prices were an issue where even Democrats were expressing concerns before Dobbs. Republicans rightly saw it as an issue on which their party had two key things going for them: Independents thought it was a top issue, and voters trusted Republicans more on it.Erickson: We are not going to see deflation, so reduced inflation is still inflation.Anderson: It’s also worth noting that even though the chatter in Washington seems to be that inflation is fading fast as an issue for voters, I’m not necessarily buying that that’s the case.Erickson: Yeah, as a dad who does a lot of the grocery shopping and cooking, milk and meat are still expensive, even if not as expensive as they were a few months ago, and wage increases for Americans have not offset the costs of many consumer goods.Douthat: Have Republicans focused too much on the economy at the expense of other issues that might have worked for them — crime, immigration, even education?Anderson: Crime and immigration are areas where Republicans have an advantage with voters, but those issues just haven’t been as salient with them.Erickson: Republicans have a comprehensive story to tell about the deterioration of the quality of life in America.Douthat: Let’s talk about the candidates who are trying to tell that story. Erick, you’re in Georgia, where Herschel Walker is the G.O.P. nominee for Senate and not exactly impressing on the campaign trail. Popular Republican governors in swing states passed up Senate races, presumably because they didn’t want to deal with the demands of Trumpism, and now you’ve got G.O.P. candidates trailing in the polls everywhere from Arizona to Pennsylvania to Wisconsin.How bad is the candidate problem, and can a Walker or a Dr. Oz still win?Erickson: I’ll take the last part first. The G.O.P. has managed to nominate some clunkers of candidates. But yes, Republicans can still win. This is actually why I am a bit hesitant now to embrace the national narrative of this election.Walker is a flawed candidate, but the national narrative has the race worse than it actually is. Walker has actually been ahead in some recent polls. The Democratic Senatorial Campaign Committee chair recently mentioned races he expected to do well in, and Georgia was not on the list. On the ground in Georgia, Walker has retooled his campaign, brought in new people, and the crowds are growing as his air war likely intensifies.Oz and Blake Masters are not great. But the political environment can get some of these flawed candidates elected. Remember, in 1980, a bunch of Republicans got elected as “accidental” senators; they were swept into office by Ronald Reagan’s landslide victory and because the national mood was so dour. Also, it is worth noting that in 2020, the G.O.P. exceeded expectations, and pollsters still do not have good answers for why they missed that. We could be experiencing part of that again.Douthat: Let me pitch that point to you, Kristen: Not only Republicans but a lot of liberals are very hesitant to trust polls showing big Democratic advantages in Senate races, especially in Midwestern states, given the record Erick mentions. How doubtful should we be about polling in this cycle?Anderson: I’m far from a poll truther or unskewer or what have you. But I am keenly aware of the ways in which public polling can miss the mark. And it is notable that in some of the last few election cycles, we’ve had public polls that told a very rosy story about Democratic Senate candidates that did not pan out and lost to incumbent Republicans. Lindsey Graham and Susan Collins, anyone? I’m also thinking of 2018, where states like Indiana and Missouri were considered tossup or close races in a blue-wave year and yet Republicans won.At the same time, those 2018 examples show that it is possible for candidates to outperform expectations even in the face of a wave that is supposed to be crashing the other direction.Douthat: Do you think the polling industry has substantially adjusted since 2020? Are the polls we’re seeing of, say, Pennsylvania or Wisconsin more trustworthy than past polling, in your view?Anderson: I’ll use a recent example to highlight my concerns. In Florida we just had a big primary election, and one of the major polls that got released before the primary showed in the governor’s race, the more progressive candidate, Agriculture Commissioner Nikki Fried, ahead of the more centrist Democrat and former Republican, Charlie Crist. The poll was very transparent in its methodology, but the underlying data had a large number of college-educated voters. Even if you do the appropriate things with data weighting, that underlying data is skewing quite progressive. Crist actually defeated Fried by a wide margin.I don’t say this to criticize those pollsters, as they were transparent about their data, but if Democrats are extra fired up to vote right now, there’s a chance they’re also extra fired up to take polls.Douthat: But we do have a few actual results, from the abortion referendum in Kansas to the recent special election in New York, where liberal causes and Democratic candidates have done well in real voting, not just in polls.How much do you read into those kinds of election results?Anderson: The Kansas result was a wake-up call for Republicans. It showed Democrats making real strides in speaking to voters in the center about abortion using language those voters might use and tapping into values those centrist voters might hold. But I’m reluctant to say that special election results are transferable to other races in other states on other issues.Erickson: I’m doubtful we can really extrapolate Kansas to the rest of the nation.Douthat: Erick, let’s talk about Donald Trump, because the other big change from the summer is that the former president is back in the headlines. Assuming, as seems likely, that the classified-documents scandal is somewhat frozen from here till Election Day, how long a shadow does Trump cast over the midterms?Erickson: Democrats have said for some time they wanted Trump to be an aspect of their 2022 argument. He, of course, wants to be part of it as well. Republicans have been terrible about taking the bait and talking about Trump. To the extent the G.O.P. is willing to ignore their reflexive “stand by your man” impulse and instead focus on the economy, education, crime, etc., they can move past his shadow quickly.I’m just not optimistic Republicans can do that, given their prior behavior on the matter.Douthat: And Kristen, as Erick says, from the Democratic side and especially the Biden White House, there seems to be a clear desire to make the midterms about Trumpism. That didn’t work particularly well for Terry McAuliffe in the Virginia governor’s race last year. Is it a better strategy now?Anderson: In a midterm, the party out of power always wants it to be a referendum, while the party in power wants it to be a choice.The problem with Trump becoming more in the news is that it helps Democrats try to make it a choice. It gives them a prominent foil. But simply saying, “Don’t vote for candidate X because of Trump” isn’t foolproof.Douthat: If a bunch of Trump-picked candidates lose their Senate or governor races, does it weaken him for 2024 at all?Erickson: I have resigned myself to Trump’s core supporters insisting the G.O.P. establishment undermined those candidates in order to stop Trump and the only way to chart a better course is to double down on Trump. They will blame Mitch McConnell and others before Trump gets blame.Anderson: It is notable that when my firm asked Republican voters if they thought Trump was helping or hurting Republican candidates in the midterms, 61 percent said he was helping, and only 27 percent said hurting. This was from a survey we did in August.Even among Republicans who don’t think of themselves as “Trump first,” putting him before their party, a majority view him as helping. Granted, some of this may be Republican respondents circling the wagons in response to the question. But I doubt a poor showing in the midterms will lead to blaming Trump.Erickson: If Democrats really do want Trump to go away, they should just ignore him. Before the F.B.I. going to Mar-a-Lago, Republicans were doing their slow walk away from Trump. I somewhat suspect Democrats really want to keep Trump’s position in the G.O.P. elevated because independent voters just do not seem to care for the guy, and that gives Democrats an edge while making a 2024 Republican primary messy.The bigger issue for Trump is major donor support. Those people will see a need to move on. Trump will be less able to rely on larger dollar donors to build out 2024 than he did in 2020, though he won’t need them as much, since he can raise a lot from small-dollar donors. If they, however, consolidated behind someone else, it could cause problems for Trump.Douthat: OK, time to ask for predictions. Out of the competitive Senate races where G.O.P. candidates are seen as struggling or the race is just close — let’s say Arizona, Georgia, Pennsylvania, Wisconsin and Nevada, because I think J.D. Vance will win Ohio — which ones do you think are the most likely G.O.P. wins, and which the most likely Democratic victories?Erickson: The G.O.P. takes Georgia. The Democrats take Pennsylvania and hold Arizona. The G.O.P. takes Nevada. I continue to think Ron Johnson wins his re-election in Wisconsin, too. I agree on Vance and think the national narrative there is out of sync with Ohio voters, who’ve moved more Republican.Anderson: I have the same choices as Erick: Republicans taking Georgia and Democrats taking Pennsylvania. That’s not to say I think those are rock solid, and the Pennsylvania race is just strange in general.Douthat: And if the economy worsens and the possibility of a red wave returns, what could be the most unexpected G.O.P. pickup?Anderson: I keep hearing buzz around this Washington Senate race. Republicans are very happy with their candidate there, Tiffany Smiley, who is a former triage nurse. A female candidate with a health care background could be powerful in this cycle.Erickson: I would keep my eye on the Colorado Senate race and the Oregon gubernatorial race. Also, New Hampshire remains in play, though the G.O.P. needs to settle on a candidate.Douthat: Final predictions — give me House and Senate numbers for Republicans.Erickson: I’m going with 51 in the Senate and 235 in the House.Anderson: I’ll say 230 seats in the House and 51 in the Senate. But I would also like to note that we are two months away.Douthat: Your sensible humility is duly noted, Kristen. Thanks to you both for a terrific discussion.Ross Douthat is a Times columnist. Kristen Soltis Anderson, the author of “The Selfie Vote,” is a Republican pollster and a co-founder of the polling firm Echelon Insights. Erick Erickson, the host of the “Erick Erickson Show,” writes the newsletter Confessions of a Political Junkie.The Times is committed to publishing a diversity of letters to the editor. We’d like to hear what you think about this or any of our articles. Here are some tips. And here’s our email: letters@nytimes.com.Follow The New York Times Opinion section on Facebook, Twitter (@NYTopinion) and Instagram. More

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      Jonathan Pie on Liz Truss, Britain’s Next Prime Minister

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      .fallbackimg:before { content: “”; position: absolute; top: 0; left: 0; width: 100%; height: 100%; background-image: url(”); opacity: 0.5; background-size: cover; background-position: center; } #bgvideo{ opacity: 0.5; } .mobile-only{ display:block; } .desktop-only{ display:none; } h1.headline.mobile-only{ margin-bottom: 10px; } @media screen and (min-width: 740px){ .fallbackimg:before{ background-image: url(”); opacity: 0.5; } #bgvideo{ opacity: 0.5; } .mobile-only{ display:none; } […] More

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      Rising Energy Prices and High Inflation: The Economic Issues Facing Liz Truss

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      For the past eight weeks through the Conservative Party’s leadership contest, the severity of Britain’s economic troubles only worsened. The new prime minister, Liz Truss, will be greeted with a long list of demands for rapid and aggressive support to alleviate the pain caused by the rising cost of living.Looming over the new government is the specter of stagflation — an unpleasant mix of stagnant economic growth and high inflation. Consumer prices are rising at their fastest pace in four decades as the rate of inflation exceeds 10 percent and is expected to keep climbing. Meanwhile, the economy contracted in the second quarter, and the Bank of England is forecasting a long recession to begin later this year as wages lag and household budgets are squeezed by rising food and energy costs. Household incomes, adjusted for inflation and taxes, are predicted to fall sharply this year and next, in the worst decline in records dating back to the 1960s, the central bank said.Britain caps household energy bills, but that limit will increase by 80 percent beginning next month. And there are calls for urgent action to help low-income households as it becomes increasingly accepted that a relief package laid out in May is inadequate. Liz Truss said on Sunday that should introduce a package to help people with energy bills within a week of taking office. Small businesses — especially energy-intensive ones, such as pubs and restaurants — are warning of widespread closures over the winter as companies won’t be able to afford their energy bills. The pub industry said there needs to be “swift and substantial” government intervention to avoid large-scale job losses.There is also a growing number of labor strikes, as workers across industries demand pay raises in line with the cost of living. Among those walking out or threatening to are port workers, nurses, teachers, train drivers and mail service personnel.Beyond these immediate problems, Britain also has many long-running economic challenges to overcome. How will the new government try to make a success of Brexit, which so far has made trading with Britain’s closest neighbors more cumbersome and costly? Can the government close the inequality gap between London and the rest of the country? Amid an energy crisis, will the government get on track to meet its legally binding targets to reach net zero carbon emissions?The gloomy economic prospects for Britain are clear in financial markets. The pound dropped 4.5 percent against the U.S. dollar in August, its worst month in nearly six years, and is now trading at $1.15. It’s at its lowest level since March 2020, and approaching the lowest since 1985. The price of British government bonds has dropped as investors turn away from British assets and expect the central bank to need to raise interest rates sharply to rein in inflation. More

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      Think the Economy Is Hard to Predict? Try the Midterms.

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      The overturning of political norms is testing the limits of an established and generally dependable forecasting model that relies solely on economics.Based on the economy alone, Democrats face a big problem in the midterm elections.Inflation has been extremely high and economic growth has been weak or even negative. That is a toxic political combination — bad enough for the Democrats to lose the House of Representatives by a substantial margin.That, at least, is the forecast of an econometric model run by Ray Fair, a Yale economist. He has used purely economic variables to track and predict elections in real time since 1978, with fairly good results, which he shares with his students and which are available on his website for anyone who wants to examine the work.The party in power always starts off with a handicap in midterm elections, and a bad economy makes matters worse, Professor Fair said in an interview. “At the moment, the Democrats definitely have an uphill climb.”Yet Professor Fair acknowledges that his model can’t capture everything that is going on in the country.While his analysis shows that the Democrats have fallen into an increasingly deep hole as the year has gone on, prediction markets and public opinion polls are more upbeat for the Democrats right now, and show a surge that began in late June.Eric Zitzewitz, a Dartmouth professor who has studied prediction markets extensively, says the improved odds for the Democrats may be linked to an important development beyond the economy: the Supreme Court’s decision to overturn Roe v. Wade.The power of the economyNo one would question whether economic conditions have a major influence on politics.But Professor Fair’s work goes further than that. In his book “Predicting Presidential Elections and Other Things,” and in a series of papers and online demonstrations, he has shown that the economy is so powerful that it explains the broad outcome of most national elections since 1916. His relentlessly economic approach does not include any consideration whatsoever of the staples of conventional political analysis: the transcendent issues of the day, the personalities of the candidates or the tactics employed by their campaigns.This year, as high inflation has persisted and economic growth has slowed, he finds that the electoral prospects for the Democrats have worsened. Based on data through July, he estimates that Democrats will get only 46.70 percent of the raw national vote for congressional candidates in November.How this projection translates into results for individual congressional seats is beyond the scope of Professor Fair’s grand experiment.“That’s not what this model is built to do,” he said. “I leave that to the political scientists. But I think the model is showing that, because of the economy, the odds aren’t good for the Democrats holding the House of Representatives.”More Coverage of the 2022 Midterm ElectionsLiz Cheney’s Lopsided Loss: The Republican congresswoman’s defeat in Wyoming exposed the degree to which former President Donald J. Trump still controls the party’s present — and its near future.2024 Hint: Hours after her loss, Ms. Cheney acknowledged that she was “thinking” about a White House bid. But her mission to thwart Donald J. Trump presents challenges.The ‘Impeachment 10’: With Ms. Cheney’s defeat, only two of the 10 House Republicans who voted to impeach Mr. Trump remain.Alaska Races: Senator Lisa Murkowski and Sarah Palin appeared to be on divergent paths following contests that offered a glimpse at the state’s independent streak.Something missingYet, as Professor Fair readily acknowledges, his model’s single-minded exclusion of noneconomic factors inevitably misses some important things.In the 2016 presidential election, for example, it projected that Hillary Clinton would lose the popular vote to Donald J. Trump. She won the popular vote but lost the presidency in the Electoral College.“It’s possible,” he said, “that some of that was Trump’s personality, and that the model couldn’t pick that up.”Something similar may have happened in 2020. The model estimated that Joseph R. Biden Jr. would receive only 47.9 percent of the popular vote but he actually got 52.27 percent. In both cases, Professor Fair said, “Trump did not do as well as he was predicted to do by the model.”The model’s singular focus may be unable to adequately account for what Professor Fair calls “the Trump effect.” That shorthand encompasses the array of norm-shattering behaviors and issues associated with President Trump and his adherents, including the Jan. 6 insurrection; Mr. Trump’s denial of President Biden’s election win in 2020; and the decision of the Supreme Court, with three Trump appointees, to overturn Roe v. Wade, which had been the law of the land for 50 years.What prediction markets sayIn theory, the prices in perfectly efficient markets synthesize the knowledge of each participant, making them better at assessing complicated issues than any individual can. But perfect conditions don’t exist for any market on earth and certainly not for prediction markets. Still, Professor Zitzewitz says these markets are highly informative.He pointed out that as recently as June 23, PredictIt, a leading prediction market, gave the Republican Party a 76 percent chance of taking the House of Representatives and the Senate from the Democrats in November.But the next day, June 24, the Supreme Court overturned Roe v. Wade. By June 30, the probability of a Republican sweep, calculated from bets placed on the PredictIt site, dropped to 60 percent. They were down to 39 percent on Thursday, with a higher probability, 47 percent, given to a different outcome: Democratic control of the Senate and a Republican victory in the House.Public opinion polls appear to have moved in a similar direction. The average of the polls tracked by Real Clear Markets has shifted from total Republican dominance to a virtual dead heat in the generic congressional ballot. On the other hand, Mr. Biden’s job rating in those polls is still awful, with nearly 16 percent more people disapproving of his performance than approving of it.Did the Supreme Court ruling shift the odds for the midterms? Did the Jan. 6 hearings swing public opinion? Has a string of legislative victories added luster to the Biden aura and moved some voters toward Democrats?It’s impossible to prove cause and effect for any of these things.Economic anomaliesIt is conceivable that the unique economic situation is muddling the projections in Professor Fair’s model.Gross domestic product and the inflation rate are the only economic factors the model uses, and may not be adequate for analyzing the state of the economy now, with the pandemic and Russia’s war in Ukraine causing disruptions around the globe. Both the G.D.P. and inflation numbers for the United States are bleak and the Federal Reserve is raising interest rates, giving rise to speculation that the country is heading into a recession or is already in one.But other metrics, like gross domestic income and the unemployment rate, have been more positive. If the economy turns out to be in better shape than the core G.D.P. and inflation data indicate, the vote projections for the incumbent Democrats would improve, and they would worsen for the Republicans.Then again, Professor Fair said, “The economy and the political situation are always unique.”Reality is recalcitrant. Human behavior never fits entirely into any model or market yet invented.It’s worth knowing as much as you can about the underlying factors, but they come down to people. I find that reassuring.In the end, elections depend on the voters coming out and the public as a whole respecting the results. Astonishingly, in 2022, that basic civics lesson needs reinforcement. The legitimacy of the 2020 election is still under attack.So, remember, whatever the models, the markets, the polls, the pundits or the candidates say, the future is in your hands. When Election Day comes around, it’s more important than ever to get out and vote, and to make sure your vote counts. More