Between high energy costs and Washington, seemingly, unable to put the brakes on spending, we continue to endure high inflation in every sector of our economy. We went from a sustainable 1.7% inflation rate in March of 2021 to a peak rate of 9.1% in July of 2022. The Federal Reserve has raised interest rates in each of the last 10 meetings in an attempt to slow the economy. In 2023, inflation has dropped into the 5% range but we have a long way to go.
Wage Dilemma
One problem with inflation and its effect on goods & services, is the necessity to increase wages to stay competitive and in-line with cost of living increases. Collectively, once the pay rates have increased, there is no way of putting the genie back in the bottle, we are in a new reality. Locally, the norm for manufacturing production pay rates seem to be in the $18-$20 an hour range. These pay rates, in step with the ever-rising costs of health insurance, continues to put real pressure on employers to pass those costs along to the end consumer, perpetuating the inflation cycle.
Let’s Do This
We have reached a tipping point, as whether we should all become active in government and not just let the political party extremes, continue to direct policy. If we do nothing, the current generations working will never reach the dream of home ownership. With 30 year fixed interest rates on home mortgages at 5.7%-7% because of high inflation, we should all call our Congressional representatives and tell them to stop spending money we do not have. Getting inflation under control has a direct correlation to stabilizing wages and the economy.
*U.S. House Switchboard (202) 224-3121 * U.S. Capitol Switchboard (202) 224-3121
Ohio’s US Senators: *Sherrod Brown (614) 469-2083 *J.D. Vance (202) 224-3353 or (614) 369-4925
The right step to curbing inflation is a great job. Start Here!
