Here's how the Senate reconciliation bill would actually affect inflation

 https://edition.cnn.com/2022/08/01/politics/inflation-reduction-act-senate-reconciliation-bill/index.html

The package counters inflation in three ways, former Treasury Secretary Lawrence Summers told CNN's John Berman. It reduces budget deficits, and therefore, the level of demand in the economy. Also, it cuts prices on prescription drugs, while increasing supply by stimulating energy production and subsidizing the transition to renewable energy.

"Less demand, more supply and direct, better bargaining for lower prices -- those are the things that are involved in reducing inflation," said Summers, who last year had warned that rising inflation was not transitory. "This bill is fighting inflation, and it's got a whole set of collateral benefits, as well. It's fair to call it the Inflation Reduction Act."

Nobel Prize-winning economist Joseph Stiglitz said a key driver of inflation is high energy costs, which the bill seeks to address through environmental investments.

"There is a simmering debate on the causes of inflation, but whatever side one takes in that debate, this bill is a step forward," said Stiglitz, a professor at Columbia University.