CNBC’s Jim Cramer on Thursday said President Joe Biden needs to team up with business leaders in order to bring inflation down and help the economy recover.
“I’m always pointing out that the major problems come down to supply chain disruptions, a labor shortage, the war in Ukraine and the lockdowns in China. But I think the blame for inflation might go further than that,” the “Mad Moneyhost said.
“There’s another reason we have all of these supply shortages: Our government doesn’t have a productive relationship with big business. Like it or not, big business has the ability to rein in inflation, but they don’t have any incentive to do so,” he added.
Cramer said he specifically has issues with Biden’s relationship with the oil industry and how he believes it doesn’t bode well for skyrocketing gas prices, pointing to the time the president said “Exxon made more money than God this year” in a jab toward the nation’s top oil producer.
“I get why Biden doesn’t want to buddy up to the oil industry as fossil fuels are very unpopular in the Democratic Party, and for good reason. … But if he wants to get reelected, he’s going to have to suck it up, Cramer said.
He also said the president should play nice with the semiconductor industry to get more American production going, and that the tech firms and their clients are “failing us too” for not harnessing its services to solve economic issues like the worker shortage.
“Maybe it is as simple as businesses connecting with tech. McDonald’s calling Nvidia. Biden saying: ‘Okay I’ll sit down with the oil guys, I guess I have to.’ Someone in Congress who’s powerful saying we just can’t lose on this CHIPS Act,” Cramer said, referring to the bill aiming to incentivize investment in the US semiconductor industry.
Disclosure: Cramer’s Charitable Trust owns shares of Nvidia.