It is no secret that our economy is facing high prices ranging from food to gas to even shelters. For those who are unaware, inflation is the upward spike of prices within goods and services . As for on the other hand, Consumer Price Index is the measuring of market prices within the good and services. Essentially, the CPI is measuring Inflation.
As of Friday, the CPI report showed an increase of 1 percent in the month of May and with a total increase of 6 percent in inflation prices within the last year. As of now the inflation is at a high total of 8.6%. This is the highest CPI report there has been in over 40 years. Could this be the beginning of another recession? In 2008 the country was facing major downfall in the economy much like how it is being shown in today’s economy.
There are theories in the communities about the housing market crashing. This could be a good thing for college students looking to rent apartments or buy homes after graduation. Not so fortunate for those who just bought a home at a high rate when they could have gotten a much lower price.
The FED ultimately will have to decide if they will be putting a hold out on the economy as prices sky rocket once again. They will also be increasing interest rates over the next few months to town down demand, according to NY Times. The White House was disappointed by the shocking reveal of numbers on Friday morning, due to their prediction from Thursday night. The president said, “his goal of slower, more stable economic growth with lower inflation”.
In the end there is no knowing whether there will be a recession in the near future but we can all hope for the best for our country and our economy.
If you or someone you know has been in an accident and need assistance, CIMA Law Group is here to help. CIMA specializes in personal injury, criminal defense and immigration and are here to provide to you the quality assurance you need.
Si usted o conoce a alguien que necesitan asistencia, CIMA grupo de abogados está aquí para ayudar. CIMA se especializa en lesiones personales, defensa criminal y inmigración y están aquí para proporcionarle la garantía de calidad que necesita.
CIMA Law Group Blog 