Monday, August 15, 2022
The financial squeeze stems from the rising cost of a number of everyday goods, including cars, rent, food and health care. While the rapid pace of price increases eased slightly in July, the consumer price index still climbed 8.5% from the previous year – hovering near a painful, four-decade high, the Labor Department reported on Wednesday.
The JEC Republicans – who launched the State Inflation Tracker in April to monitor how much higher prices are costing Americans across the U.S. – calculated the figure by comparing prices for goods and services in July versus how much households would have paid for those same items in January 2021, when inflation was 1.4%.
"While prices did not change from June to July 2022, prices increased 13.3% from January 2021 to July 2022, costing the average American household $717 in July 2022 alone," the analysis said.
For the average American, who makes perhaps $60K per year, $717 per month is a *lot* of money. It's a lot of money to me! That's how much it would cost to lease a new car, for example, a nice one. It sounds like a lot of people are just running up balances on their credit cards to cover this. This can't go on, so therefore it won't.