Inflation is costing North Carolinians about $8,000 a year
Inflation in June was reported to have reached an annualized rate of 9.1% across the country.
Anyone filling up their car with gas or going to the grocery store doesn’t need to be told that prices have gone up, and the Joint Economic Committee of Congress has released a “State Inflation Tracker” to let people know. people about how inflation affects prices. in their state in relation to the nation.
According to the Joint Economic Committee report, prices in North Carolina have risen 13.7% since January 2021, resulting in a monthly cost increase of $641 for the average state resident. The report breaks that down into an extra $64 per month for food, $91 per month for housing, $306 per month for transportation, and $175 per month for energy.
As high as that is, according to the report, people in North Carolina are doing better than the average American. The national average monthly increase is $718 due to inflation.
The report states, “Over the 12-month period from July 2022 to June 2023, the inflation that has already occurred will cost the average American household $8,616, even if prices stop rising altogether.” The amount for North Carolina would be slightly less.
But at this point, the prediction is that inflation will continue to rise. Current efforts are aimed at slowing this rate of growth, but even the most optimistic forecasts do not call for inflation to come to an abrupt halt this month.
The $8,616 cost increase means that if the average American does not receive a pay raise of at least $8,616 next year, they will be financially worse off than they were, and an increase in income of $8,616 would be just enough to stay tied.
Low-income households are harder hit because they spend a higher percentage of their income on housing, energy, transportation and groceries.