Rapid rate of rising prices overwhelms wage hikesBy Stephen Moore
February 10, 2022
Good news and bad news from the Labor Department this week. The good news: wages last year were up about 4.6%. In normal times, that is a number that would make us cheer.
The bad news. Prices for everything we buy are up an average of 7.5% according to the latest inflation numbers released Thursday. The last time inflation was this high was in 1982, when the No. 1 hit record was Olivia Newton-John’s “Let’s Get Physical.” Anyone old enough to remember that one?
There are also reports that the new way that the government calculated inflation artificially reduced the stated inflation number and that the real price changes were closer to 8%.
By the way: the last month Donald Trump was in the Oval Office, in January 2021, inflation was just 1.6%. In one year, price increases have quadrupled. I’m sure the Biden White House would love to blame Trump for the explosion, but that won’t pass the laugh test.
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Inflation is not an act of nature or an act of God. It is due to unforced errors by our politicians who never seem to learn that no nation has ever spent or borrowed its way to prosperity. That’s an economic lesson we’re all learning the hard way every time we go to the store.
Source:
https://nypost.com/2022/02/10/rising-prices-overwhelm-wage-hikes/
