(Bloomberg) -- Former Treasury Secretary Lawrence Summers criticized the Biden administration’s emphasis on Russian President Vladimir Putin’s invasion of Ukraine and on price gouging by companies in ascribing causes for the surge in U.S. inflation.

“This is a consequence, fundamentally, of an overheated economy,” Summers told Bloomberg Television’s “Wall Street Week” with David Westin on Friday, referring to the latest data showing the consumer-price index soared the most in four decades.

The jump in commodity costs since the Russian invasion will mean inflation won’t likely decelerate for months, according to Summers, a paid contributor to Bloomberg Television and a Harvard University professor.

“If higher prices of gasoline are the price of freedom, it is a price that this generation of Americans should pay,” Summers also said. “And frankly it’s a small price compared to the price that’s being paid in Ukraine or the price that past generations of Americans have paid.” He added that he’s been “gratified” at companies recognizing “moral obligations” amid the conflict.

Summers also called for a “new seriousness” in political discussion between Republicans and Democrats in Washington in face of the latest geopolitical crisis and the “potentially emerging axis between China and Russia.”

Inflation Blame

President Joe Biden has dismissed criticism that his $1.9 trillion March 2021 stimulus package was a major factor in the jump in living costs. He said of inflation on Friday, “Democrats didn’t cause this problem, Vladimir Putin did.”

White House officials have argued that Putin’s actions in Ukraine were responsible for at least a 75 cent per gallon rise in fuel prices in recent weeks, as well as increased food costs after Russia suspended exports of wheat, rye, barley and corn.

The Biden administration has stepped up scrutiny of companies in industries including meatpacking that the White House says are suffering from a lack of competition -- contributing to outsize price hikes.

“The president was wrong to blame this month’s number on Ukraine,” said Summers. He also said that “blaming corporate greed will chill business confidence, will reduce investment in expanding capacity and will likely make this worse.”

The former Treasury chief urged leaders in Washington to “move beyond excuse-mongering” and partisanship in the broader endeavor of confronting the challenge of autocracy.

He highlighted his support for both Democratic and Republican priorities.

Among those on the Democratic side he aligned with:

  • Heavy investment in renewable energy
  • Greater resources for education
  • More spending on infrastructure

And on the Republicans side:

  • Pipelines for energy security and to help Europe gain energy security
  • Higher standards and more competition in the education system
  • Infrastructure investment should be carried out more quickly and efficiency in procurement
  • “Business confidence and cooperation with business is important”

“We have common adversaries in China and in Russia where we need to stand up,” he said, adding that there are also domestic adversaries appealing to populism and extremism. “This is a moment of major challenge that deserves major response from our nation’s leadership.”

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