Inflation is over, the administration crows, even as Congress works to pass another massive spending bill — this time, $1.7 trillion.
But struggling families know not to pop the cork yet.
The consumer price index rose just 0.1% last month, bringing the 12-month rate to 7.1% — still higher than any year since the disco days of 1981. Politicians have downplayed inflation ever since President Biden ignored economist warnings in early 2021 that it would be economic malpractice to throw a $1.9 trillion stimulus bill at a supply-constrained economy. Then we were told that inflation was “transitory,” a relic of corporate price gouging and “Putin’s price hike.”
The Federal Reserve has also downplayed inflation. Two years ago, its Federal Open Market Committee (FOMC) forecast that inflation (using a slightly different measure called the PCE, for Personal Consumption Expenditures) would be 1.8% in 2021. It instead came in at 5.8%. Not learning its lesson, the FOMC projected that inflation in 2022 would fall to 2.6%. It is now set to end the year at 5.6%. So here we are again, with the FOMC projecting inflation rates of 3.1%, 2.5%, and 2.1% over the next three years.
What is usually omitted in reporting of this sort is the original baseline. 7.1% is an improvement over the earlier rate but still up a ton from where we were two years ago. It’s 7.1% over 2021’s ghastly figure, and each month going forward will be an increase over that reference number. Don’t forget and don’t be lulled.
Democrat Party & the O’Biden Fake Administration will feel some Pain Jan 2023 soon !!!! Republican HOUSE !!!
You all really think voting makes a difference with all the corrupt criminal traitors we have in the office? This country is run and owned by the highest bidder, He who has the money makes the rules, our freedoms we fought for, believed in are GONE.
Only one thing will stop it.
Democrats WILL be going away !!!!! They have Ruined America for Years to come !!!! FIRE Every One
Middle class is Ruined by Biden Fake Administration !!!!!! They will Never Afford these HIGH Prices !!!!!!
Everyone in this country is barely hanging on financially, and the Obidens are off on ANOTHER vacation in a far away and exotic place. Must be damn nice.