Inflation has skyrocketed again in new data from December, with the highest rate in 40 years. ABC News. The Consumer Price Index jumped 7% in the past 12 months, the highest rate since 1982. The index increased by .5% in December, a slight decrease since November when it went up by .8%. Energy prices went down a bit, probably due to winter driving. The Fed has said that they will likely raise interest rates to help slow inflation sooner than expected.
My Comment:
Just a quick post on this one as I have covered inflation many times before on this blog recently. I do have to say that I did find it hilarious that Biden was trying to take credit because the rate of inflation wasn't quite increasing as fast as it had been. It's still totally out of control but that's how desperate Biden is for a win.
I honestly haven't seen lower gas prices. Indeed, they just went up the last time I got gas, which is more than $3 a gallon here in Northeast Wisconsin. It was a bit lower in December, but not by much. It wasn't something that really helped me in any way so I don't think Biden can take any credit for it. Plus the prices are pretty much guaranteed to rise over the summer.
I have seen higher prices for pretty much everything. My weekly grocery shopping has increased quite a bit, even though I haven't been buying more expensive stuff for the most part. In years past I would average between $65 and $75 but now? $90 every time and often times more than $100. That's a huge increase in just a couple of years.
I guess I am lucky though as my wages have increased quite a bit in the past two years, enough that I have a cushion against inflation. But other people? If you didn't get a major pay raise in 2021 or even if you got a small one, you are probably behind the eight-ball right now.
The worst thing about this is that the factors that are causing inflation are entirely under the control of Joe Biden. The energy crunch was especially avoidable as all he had to do was keep the status quo ante of new drilling and new pipelines. Instead he banned both and now we are paying a whole lot more for everything given how energy is the lifeblood of the economy.
Outside of energy prices, much of the inflation is due to the massive stimulus payments given to just about everyone. That stimulus was paid by printing new money and that is the other major reason why prices have gone so high. It's amazing to me that the Democrats haven't realized that these massive spending bills have drawbacks.
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