Business

Jeff Bezos blasts Biden for blaming gas companies for prices

Amazon founder Jeff Bezos ripped President Biden for blaming sky-high costs on the pump on gasoline station firms — accusing the commander-in-chief of both using “misdirection” or of displaying a “deep misunderstanding” of financial fundamentals.

In a tweet on Saturday, Biden wrote: “My message to the businesses working gasoline stations and setting costs on the pump is straightforward: this can be a time of struggle and international peril.”

“Carry down the value you’re charging on the pump to replicate the price you’re paying for the product,” the president continued. “And do it now.”

Bezos, the second richest particular person within the nation, blasted Biden’s message in a response on Twitter later Saturday.

“Ouch. Inflation is way too vital an issue for the White Home to maintain making statements like this,” posted Bezos, proprietor of the Washington Submit.

“It’s both straight forward misdirection or a deep misunderstanding of fundamental market dynamics.”

The Biden administration fired again on the criticism on Sunday.

“Oil costs have dropped by about $15 [a barrel] over the previous month, however costs on the pump have barely come down. That’s not ‘fundamental market dynamics.’ It’s a market that’s failing the American shopper,” White Home press secretary Karine Jean-Pierre tweeted.

“However I suppose it’s not shocking that you simply suppose oil and gasoline firms utilizing market energy to reap report earnings on the expense of the American folks is the way in which our economic system is meant to work,” she added.

In an interview on Fox Information, Nationwide Safety Council spokesman John Kirby additionally took concern with Bezos’ declare that Biden could be intentionally making an attempt to mislead.

President Biden informed reporters that Individuals must pay excessive gasoline costs for “so long as it takes” for the Ukraine struggle to finish.
Susan Walsh/AP

“We clearly take nice exception at the concept that is one way or the other misdirection,” Kirby mentioned. “The president is working very very onerous throughout many fronts to attempt to convey that value down.”

The back-and-forth comes as Individuals have been dealing with steep costs on the pump amid Russia’s invasion of Ukraine and skyrocketing inflation.

Fuel costs within the US reached report ranges this yr. The typical value of a gallon of standard gasoline hit $4.81 Sunday, based on AAA, in comparison with $3.12 a yr in the past.

Costs may soar much more — and to “apocalyptic” heights — if hurricane season causes vital disruptions for US oil refiners, an business knowledgeable warned final month.

The Biden administration has tried to pin a lot of the blame on Russian President Vladimir Putin’s struggle, whereas additionally pointing the finger at oil firms, accusing them of artificially limiting provide by refusing to drill on leasing websites permitted by the federal authorities.

Biden informed reporters on Thursday that US drivers must shell out the large bucks for “so long as it takes” for Ukraine to defeat Russia’s invasion.

Nationwide Financial Council director Brian Deese, additionally on Thursday, mentioned Individuals must endure ache on the pump indefinitely within the identify of the “liberal world order.”

“What you heard from the president immediately was a transparent articulation of the stakes,” Deese mentioned throughout an look on CNN when requested about households who can’t afford the excessive prices per-gallon. “That is about the way forward for the liberal world order and we have now to face agency.

Gas prices.
Fuel costs may rise if hurricane season causes vital disruptions for US oil refiners.
Nam Y. Huh/AP

“However on the identical time, what I’d say to that household and to Individuals throughout the nation is you will have a president, an administration that’s going to do every part in its energy to blunt these value will increase and produce these costs down,” Deese added.

The alternate with Bezos wasn’t the primary time Biden and an outspoken American billionaire engaged in a disagreement.

In early June, it was revealed that billionaire Elon Musk has such a “tremendous dangerous feeling” concerning the US economic system underneath Biden that he deliberate to put off about 10% of the employees at Tesla, his electrical automobile firm.

Biden reacted to Musk’s view by taking a shot on the businessman and his firm SpaceX.

“Numerous luck on his journey to the moon,” Biden mentioned.

That prompted Musk to fireside again on Twitter with a hyperlink to a 2021 NASA press launch about SpaceX profitable a $2.89 billion contract to ship the following American astronauts to the moon.

Further reporting by Tamar Lapin

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