Moody’s: Inflation to Cost Families an Extra $5,520 Per Year, Up from Last ProjectionWendell Husebø11 Jun 20227
Inflation will cost families an additional $5,520 per year, increasing from a projection in March, according to Moody’s.
President Biden’s 40-year-high inflation will cost American households on average an extra $5,520 in 2022, or $460 per month, a Moody’s analysts projected.
In March, that projection was less. Bloomberg estimated families would be charged an extra $5,200 in 2022, or $433 per month, 27 dollars less.
Moody’s compared the average household spending in May of 2021 to the years of 2018 and 2019, when the annual inflation rate was 2.1 percent.
Moody’s Analytics senior economist Ryan Sweet told the New York Post:
Having inflation at 8.5% on a year-ago basis, compared with the 2.1% average growth in 2018 and 2019, is costing the average household $346.67 per month to purchase the same basket of goods and services as they did last year. However, the pure cost for households for having inflation running at 8.5% is $460.42 per month.
The soaring costs are altering consumer habits, June’s BMO Real Financial Progress Index survey revealed:
42% are changing how they shop for groceries. This includes opting for cheaper items, avoiding brand names, and buying only the essentials.
46% are either dining out less or consciously spending less when dining out.
31% are driving less to offset the soaring cost of gas.
23% are spending less on vacations or canceling them altogether.
22% are taking measures such as canceling subscriptions to the gym, cable, etc.
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https://www.breitbart.com/economy/2022/06/11/moodys-inflation-to-cost-families-an-extra-5520-per-year-up-from-last-projection/