Inflation Continues to Impact American Consumers
On Friday, the consumer price index report came out, and it is showing how much inflation is impacting everyday Americans. The bottom line from the report is that for most working Americans if you are not getting a raise of at least 7% this year, then you are losing money.
The inflation in this country comes from a culmination of several factors including a surging demand from Americans with money to spend, and a combination of various supply chain issues like ships stuck at ports and a shortage of truck drivers. This has led to the worst inflation rate in almost four decades, with it currently sitting at 6.8%. Up until now the inflation rate has been kept relatively in check since the last major surge in 1980.
But now, the impact on the wallet has become especially apparent when it comes to basic needs. In the past year, energy prices have increased by 33%. Beyond that, food prices have been soaring, with beef roast up 26% and chicken and seafood up 11%. On Friday, President Biden begged for patience, calling it “a real bump in the road, and I think you’ll see a change sooner, quicker and more rapidly than most people think.”
That being said, that change may not come fast enough for those traveling over the holidays seeing sticker shock. Right now, fuel prices are up 58%, hotel rates are up 25.5%, and car rental rates are up 37.2%.
Experts are saying that this will go on for about another year and should die down by November of 2022. They also say that companies are inflating prices through drip pricing, which is where they add dees and surge charges to the bill so that they can still advertise lower prices and not scare away consumers.