Inflation is undoubtedly the hottest topic of any given day, especially as the inflation rate continues to set new monthly records.
It’s taking a massive toll on the American family, too, as Fox Business recently reported that data from a Heritage Foundation study revealed the average American worker is set to lose $3,400 in annual wages, as the 18-month rise in the cost of goods and services continues to cancel any wage gains rapidly.
For the average American family with both parents working, that number doubles to $6,800 in lost wages — a massive hit for virtually any income bracket of the hard-working, American family.
Fox Business noted: “Overall, the Consumer Price Index, a key inflation measurement, surged 9.1% year-over-year in June, a more-than-expected increase that marked its highest level since November 1981, according to a Bureau of Labor Statistics report Wednesday.”
One Fox News guest pointed out that such high numbers are more than a family’s annual food budget.
Additionally, consumer spending on extras, such as vacations, subscription services, concerts, and other forms of entertainment, is also declining, with experts saying the worst is yet to come.
That’s partly due to recent record-setting moves by the Federal Reserve, which already made an unprecedented rate hike last month, with another equally shocking hike expected in July.
The situation, which is expected to become significantly worse for millions of American families, is already causing yet another spike in food pantry visits, in many cases by families that typically do not need the assistance when the economy is strong, as it was prior to the current administration.
PHOENIX (AP) — Long lines are back at food banks around the U.S. as working Americans overwhelmed by inflation turn to handouts to help feed their families. https://t.co/kqc18CDTsJ
— Seung Min Kim (@seungminkim) July 14, 2022
“It’s truly crushing the middle class and then the White House spokesperson says these garbage lines like ‘the economy is in transition,’” E.J. Antoni, a research fellow at The Heritage Foundation, said. “Transition in the same sense, I suppose, that an iceberg transitioned the Titanic into a submarine.”
In addition to high food and services prices, gas prices are still sitting at record highs coming down off of the $5 per gallon high national average last month to around $4.65 — a number that continues to cripple driving plans, vacations, and any extra driving this summer.
A number of economists have signaled that if America isn’t already in a recession, it’s not far off.