You probably felt this in your pocket book. Inflation in the US is up to 9.1% over the past year. It’s the greatest inflation in forty years.
Over the past year,
Grocery prices have climbed 12%.
Rents are up nearly 6%.
New car prices increase over 11%.
Airline fares are up 34% from one year ago.
The hardest hit Americans are lower-income black and Hispanic Americans.
Those living on social security and pensions are also hard hit by rising costs caused in large part by president Joe Biden’s economic programs.
It puts more pressure on the federal reserve to raise interest rates aggressively. And that increases the likelihood of a recession.
Stagflation may return to the US for the first time since Jimmy Carter’s presidency. That’s a stagnant economy coupled with devastating inflation.