The Sacramento Bee recently wrote:
The good news for California consumers in the months and years ahead: Prices should stop going up so much.
But while food and gasoline price increases slow, housing costs may climb more than the average rate of inflation, according to economic experts.
The UCLA Anderson forecast has overall consumer price hikes in California averaging 4.1% this year, cooling to 3.2% next year and 2.9% in 2025. That’s virtually the same as its forecast for national averages.
While food prices overall have been growing at a 5.8% pace this year, the U.S. Department of Agriculture Economic Research Service sees 2.2% growth in 2024.
Much of the increase would come from food eaten in restaurants and other places away from home. Food bought in grocery stories should cost 1.6% more next year, while restaurant food increases 4.3%.
Good News? What the Sacramento Bee fails to mention is that the rate of increase is on top of the 18% of inflation we are already paying since January 2020, when Joe Biden assumed the presidency.
So please start with the 18% we are paying now and add those forecasted price hikes.
Prices are outpacing wages, and the income gap continues to grow. The “good news” would be for prices to go down – this is especially difficult for our seniors on fixed incomes.