In his State of the Union address on Thursday, US President Joe Biden called for increased charges on corporations while advocating for reduced medication costs and improved housing affordability, aiming to address voters’ concerns and highlight the progress made in the country’s economy under his leadership, as he seeks reelection this year.
During the annual speech to a joint session of Congress at the US Capitol, the 81-year-old outlined his agenda, emphasizing the need for economic reforms. Biden credited his administration for steering the economy away from the brink, boasting about the current state of the economy with record job creation and historically low unemployment rates.
Biden’s economic proposals align with his long-standing Democratic agenda, but their full implementation hinges on Democrats securing strong majorities in both chambers of Congress in the upcoming November elections, a scenario that currently appears unlikely.
The president called for raising the corporate minimum tax to at least 21 percent, as part of a broader plan to reduce the federal deficit by trillions of dollars. He also proposed implementing a 25 percent minimum tax on wealthy individuals, criticizing the tax cuts introduced during the Trump administration for predominantly benefiting the rich.
In addressing healthcare, Biden mentioned efforts to lower prescription drug costs through Medicare negotiations and proposed expanding Medicare’s authority to negotiate lower prices for 500 additional drugs over the next decade, aiming to save taxpayers money.
Regarding competition with China, Biden highlighted his administration’s actions to regulate the transfer of advanced technology, contrasting his approach with that of his predecessor, Donald Trump. While emphasizing a strong stance against China, Biden reiterated his preference for diplomacy over conflict with the second-largest economy.
On the domestic front, Biden expressed his intention to introduce an annual tax credit to assist Americans with housing costs. He also discussed efforts to combat unfair pricing practices and hidden fees, acknowledging the challenges faced by millions of Americans amidst lingering inflation concerns.
Biden addressed the phenomenon of “shrinkflation,” where companies reduce product sizes to offset cost increases, a practice that has drawn criticism, including from the popular Sesame Street character Cookie Monster.
