Categories: News

Why fears about rising inflation may be overblown

Stories about the rising cost of groceries and household goods have been all over the news of late, from tales of how the rising cost of milk impacts families to warnings of how expensive Thanksgiving meals will be. But journalists may be creating more fear than the situation really demands, writes Mother Jones. To begin with, groceries typically make up a much smaller portion of the average household budget than, say, housing or transportation. Even the family that buys 12 gallons of milk a week is probably less affected by higher prices at the grocery store than they would be by a 10 percent increase in housing costs. Other examples in the media, like shelling out $90 for a bottle of wine, likely aren’t reflective of what the average American actually buys. (It’s worth pointing out that the $90 bottle of wine anecdote in a recent MarketWatch story has since been retracted.) Gas prices are indeed high right now, but a number of factors causing that phenomenon have little to do with runaway inflation. Finally, federal efforts to mitigate inflation can backfire. Aggressive intervention in the 1970s did curtail rising costs, but also contributed to one of the worst recessions since the Great Depression. —Jessica Terrell

Related Post
The Counter
Published by
The Counter

Recent Posts

Emotional eating is about more than willpower, neuroscientists say

The year 2022 may be off to a rocky start, but at least we’ve been…

1 day ago

In Fargo, North Dakota, working at McDonalds pays more than some teaching positions

In Fargo, North Dakota, a short-term substitute teacher would make more money a day picking up…

1 day ago

Florida homeowners receive $42M years after the state destroyed their healthy citrus trees to stop canker

It took 16 years, but about 18,000 homeowners in Central Florida will collectively receive $42 million from…

1 day ago

Texas Ag commissioner’s challenge to debt relief further undermines Black farmers’ faith in USDA and government

Black farmers in Texas—and across America—have more than a few reasons to doubt the U.S.…

1 day ago

Why did a Turkish farmer put VR headsets on his cows?

It seems like a bit from a standup comedy set: dairy cows hanging out, watching…

1 day ago

How did we keep food fresh before the advent of single-use plastic packaging?

Eliminating single-use plastics from your household is a noble intention. But when it comes to…

1 day ago