Tuesday’s Consumer price index for March shows consumer prices rose 8.5% from a year ago, as costs for essentials continue to rise. In the past 12 months, gasoline prices rose 48%, food costs increased 8.8%, the cost for shelter rose 5% and medical care services rose nearly 3%. Meantime, there were double-digit price increases for both new and used cars. Prices have been rising due to strong consumer demand and supply chain shortages, made worse by Russia’s war against Ukraine. The Federal Reserve is planning several interest rate hikes this year to try to cool inflation.
Surging inflation has New Jersey lawmakers talking about whether to provide cost-of-living increases to pension payments made to retired government workers, something that they haven’t received in a decade. Making that adjustment would cost state and local governments more than $3.5 billion in total. It’s a tough issue for state lawmakers. You can read more about this issue here.
Rising inflation is especially problematic for those who earn less than others. This is the situation for Black Americans. The National Urban League Tuesday released its annual report on the State of Black America. The report finds the median household income of Black people is just below $44,000. That’s 37% less than the household income of white people, which is nearly $70,000.
