The inflation you don’t see

Published On Dec 17, 2024, 1:21 PM

The article discusses a concerning trend where inflation is continuing to affect service costs more than goods. Although overall inflation rates have decreased, prices for services such as entertainment, rent, and insurance are rising at rates that are outpacing income growth. This shift in inflationary pressure, particularly in essential services, is causing financial strain on consumers, even as costs for some goods are stabilizing or declining. The persistent costs associated with services may complicate recovery from inflation as they are primarily driven by rising labor costs, which don't easily decrease.