The Inflation Draining Your Wallet, Grocery Cart, And Gas Tank Is Far Steeper Than 8 Percent

[mystery-ak]

The Inflation Draining Your Wallet, Grocery Cart, And Gas Tank Is Far Steeper Than 8 Percent
By: Elle Reynolds
April 27, 2022

The Labor Department’s March inflation numbers released this month skyrocketed past February’s, hitting a 12-month increase of 8.5 percent and the steepest annual increase since 1981. That’s no small figure, but most Americans know the inflation they encounter at the grocery store checkout, the gas pump, the car lot, and the leasing office is far higher than that.

Just look at basic items like groceries and gas, and you’ll see how much higher those necessities are climbing than the generic inflation figures slapped across headlines.

According to the Bureau of Labor Statistics (BLS), in the average U.S. city, ground beef is up 14.9 percent since last March, boneless stew beef is up 24.3 percent, bacon is up 23.1 percent, boneless chicken breasts are up 17.6 percent, eggs are up 25.9 percent, milk is up 17 percent, frozen orange juice concentrate is up 18 percent, and ground coffee is up 15.8 percent. Meanwhile, fuel oil has jumped a whopping 71.5 percent, and utility gas is up 23.3 percent.

Many of these urban numbers don’t even capture how steeply prices have risen for middle America, however. In the Midwest, ground beef has risen 24.5 percent, almost 10 percentage points more than the urban average.

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https://thefederalist.com/2022/04/27/the-inflation-draining-your-wallet-grocery-cart-and-gas-tank-is-far-steeper-than-8-percent/

[catfish1957]

I do a very precise budget every January 1.  1/1/22  vs. 1/1/21 showed a 14.3% increase on static needed expenditures.

True inflation right now in my estimate is somewhere between 16-22%

[DefiantMassRINO]

The government can't acknowledge the true inflation rate because the requisite Federal cost-of-living adjustments would break the budget.

[IsailedawayfromFR]

The government can't acknowledge the true inflation rate because the requisite Federal cost-of-living adjustments would break the budget.

Don't believe so.  The inflation at the same time will at the same time force higher tax receipts to offset that.

What will really break the budget is the higher interest paid on the $30 trillion in debt, the bulk of which is in shorter term, not longer term, notes.

[DefiantMassRINO]

The Federal government doesn't benefit from sales or meals taxes.

The benefit will go to state treasuries.

[IsailedawayfromFR]

The Federal government doesn't benefit from sales or meals taxes.

The benefit will go to state treasuries.

Mostly correct, but economics mean that inflation of goods correlates to higher demand for increased wages which means the govt will take in more money as taxes go up.

A 1% increase in interest rates on our debt, which is mostly of a short term nature, means an additional $300 billion in interest being paid by Uncle Sam.  That's approaching +$1 billion per day.

[libertybele]

I do a very precise budget every January 1.  1/1/22  vs. 1/1/21 showed a 14.3% increase on static needed expenditures.

True inflation right now in my estimate is somewhere between 16-22%

Good information. 

[Free Vulcan]

I do a very precise budget every January 1.  1/1/22  vs. 1/1/21 showed a 14.3% increase on static needed expenditures.

True inflation right now in my estimate is somewhere between 16-22%

For the average person who's percentage of income goes more towards basics, that IMO is accurate.

[roamer_1]

I do a very precise budget every January 1.  1/1/22  vs. 1/1/21 showed a 14.3% increase on static needed expenditures.

True inflation right now in my estimate is somewhere between 16-22%

Yep. My round number is at 20%.

[Kamaji]

The Federal government doesn't benefit from sales or meals taxes.

The benefit will go to state treasuries.

The federal government benefits from income taxes that are imposed on a progressive set of brackets.  As prices go up, net incomes go up, benefiting the federal government.