Scott Bessent says ‘move from a blue state to a red state’ is No. 1 way to beat inflation, leaving critics stunned

Moneywise and Yahoo Finance LLC whitethorn gain committee oregon gross done links successful the contented below.

Rising surviving costs person been a persistent strain for galore Americans — and President Donald Trump’s sweeping tariffs person lone intensified the pressure. It’s a interest Treasury Secretary Scott Bessent was pressed connected during his latest quality connected MSNBC’s Meet the Press.

“We person seen prices expanding connected staples similar coffee, bananas, bacon. Inflation has gone up. It's astatine 3% present up from 2% successful April, erstwhile the tariffs were imposed,” big Kristen Welker noted (1).

• Thanks to Jeff Bezos, you tin present go a landlord for arsenic small arsenic $100 — and no, you don't person to woody with tenants oregon hole freezers. Here's how

• Dave Ramsey warns astir 50% of Americans are making 1 large Social Security mistake — here’s what it is and 3 elemental steps to hole it ASAP

• Approaching status with nary savings? Don’t panic, you're not alone. Here are 6 casual ways you tin drawback up (and fast)

“No, no, no, no, no. They weren't. Inflation hasn't gone up,” Bessent changeable back. “We person slowed inflation. And we are moving precise hard to bring it down.”

Then helium offered a solution that caught galore viewers disconnected guard.

“Kristen, I tin archer you that the Council of Economic Advisers has a study. You cognize the champion mode to bring your ostentation complaint down? Move from a bluish authorities to a reddish state. Blue authorities ostentation is fractional a percent higher,” helium said. “And that is due to the fact that they don't deregulate. They support prices up. Energy is higher.”

The remark caused Welker to stumble concisely earlier moving connected to her adjacent question — and it instantly acceptable disconnected a question of reactions, astir of them sharply critical.

Economist Robert Gordon pointed to the sheer outgo and upheaval progressive successful moving compared with the tiny quality successful ostentation Bessent referenced.

"Bessent’s proposal that radical prevention wealth by moving to reddish states is wholly absurd," Gordon told Newsweek (2). "The quality successful ostentation rates is trivial and would beryllium much than wholly offset by the fiscal and affectional outgo of moving from 1 authorities to another."

Social media echoed the sentiment. One apical remark connected X read: “Great message. Tired of precocious market prices? Sell your home, find a caller job, bargain a caller home, determination determination else, commencement beingness over. Magic! Now your market measure is $10 little (3).”

There’s besides the question of whether the red-vs.-blue ostentation assertion holds up. While Bessent cited the Council of Economic Advisers, the CEA does not look to person published a state-level ostentation investigation showing a 0.5% spread (4).