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Inflation has haunted Americans throughout 2022. Although it dropped to 7.7% in October, consumers are feeling the pinch every day.
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Gasoline and food prices have risen sharply. Not surprisingly, according to a new GOBankingRates survey, 42% of Americans say rising food costs will have the biggest impact on their finances in his 2022, and 24% say rising gas prices will hurt them. I said it had the biggest impact.
These two items have steadily increased in price throughout the year. Let’s look at the numbers and what can be done to mitigate these economic blows in 2023.
More than 10% increase in food costs
According to the latest Bureau of Labor Statistics (BLS) data, the Consumer Price Index (CPI) food index rose 0.6% in October, representing a staggering 10.9% annual growth. The at-home eating index has increased 12.4% over the last 12 months.
Eating out has also become more expensive. The eating-on-the-go index also rose for him in October, up 0.9%, up 8.6% from last year.
In October, the meat, poultry, fish and eggs index rose 0.6%, while the cereals and bakery products index rose 0.8%. Over the past 12 months, egg prices have increased by a staggering 43%.
Meanwhile, the food index, which fell by the month, included fruit and vegetables, which fell 0.9%, and dairy and related products, which fell 0.1%.
Gas prices are up 17.5% since 2021
Gas is another commodity that saw a notable price increase in 2022, due in part to inflation, supply-demand imbalances and Russia’s invasion of Ukraine.
BLS data show that the gasoline index rose 3% in October and 17.5% over the past 12 months.
Some experts have also accused oil companies of inflating prices.
“We need a casual profits tax to end the blatant price gouging of American consumers by the largest oil and gas companies,” said Jordan Shriver, director of energy and environment at Accountable.US. Stated. “For too long, Big Oil’s soaring prices have been unshakeable, allowing the industry to artificially raise prices and give away billions of dollars to already wealthy shareholders, all for diligent consumption. I have sacrificed people.”
how to save money on food
Gretchen Scheiman, vice president of marketing at DailyPay, says that with food prices soaring at home and in restaurants, it’s time to cut costs with smart shopping strategies.
“Buy in bulk when possible and avoid paying for brand names when generic brands may offer the same quality.” Also watch out for discounts.”
“Food is inelastic. You have to eat it, but it’s possible to squeeze some savings around the margin.” You can switch your buying and eating habits accordingly Compare the value proposition of eating out versus staying at home You can also adopt dietary changes that can save you money.”
Dealing with high gas prices
Not surprisingly, when asked what Americans most want in 2023, the number one response in the GOBankingRates survey was a significant reduction in inflation (38% said it was their first ). His 30% of consumers want a big cut in gas prices.
High gasoline prices had a devastating effect on people’s finances earlier this year, Shaiman said. This is especially true for hourly workers. One solution people have used to mitigate the impact and reduce their gas bill is carpooling.
“Others have turned to public transport and bicycles/electric scooters for their daily commute,” added Scheiman. “Some companies were offering creative perks such as travel allowances, gasoline his vouchers, and on-demand payments to control high transportation costs.”
As for next year’s solution to cutting gas bills, some experts say the unique “solution” for some Americans is to move abroad.
Orestes Fintiklis, Head of Corporate Strategy at Mondee, said: “This trend has been amplified by the strength of the US dollar, with more Americans considering living abroad as digital nomads – not only are they still making a living on the US dollar, but they are also spending the majority of their holidays traveling abroad. Allocating destinations and domestic destinations.
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