WASHINGTON, D.C. — Today, the Bureau of Labor Statistics announced that inflation, as measured by the consumer price index (CPI) on all items, increased by 2.7% for the 12 months ending in November—rising from the previous month. Prices overall are up over 20% since January 2021—the start of the Biden-Harris White House.
Core inflation, which excludes volatile energy and food prices, rose at a pace of 3.3% in November from a year prior, holding steady with the previous month’s rate. Housing inflation (shelter) increased by 4.7% (slowing from the previous month), and food accelerated by 2.4% over the past 12 months, up from 2.1% last month. Real wages increased by just 1%.
Patrice Onwuka, director of the Center for Economic Opportunity (CEO) at IWF, issued the following statement:
“Families and businesses can’t get a break this Christmas season. The headline CPI rate accelerated for the second month, reversing its downward trend. Prices on household staples like food, shelter, and used vehicles are going in the wrong direction. Falling energy costs are one bright spot that, when paired with smart future energy policies, can bring other prices down.
“When Americans grocery shop or buy gifts, they will be greeted by prices that are at least 20% higher today than 3.5 years ago. For low-income and working-class households, high interest rates leave little discretionary income for holiday shopping after paying credit card bills, car notes, and mortgages.
“Consumer sentiment and small business optimism are rising amidst these rising costs because Americans believe that President-elect Donald Trump will keep his promises to bring down prices. Economic and employment growth have been propped up by massive federal stimulus spending. The consequence of multi-trillion-dollar spending bills has been 40-year-high inflation that still remains stubbornly high. Cutting taxes to leave hardworking families and businesses with more of their income and deregulation was the formula of success that propelled the Trump 1.0 economy to strength. Adding spending cuts and interest rate cuts to this equation can reduce prices to levels that will finally give Americans needed relief.”