Inflation Reaches 9.1 Percent; CBC Dean Breaks Down What Comes Next
Posted Date: August 12th, 2022
By: YakTriNews
With skyrocketing prices just about everywhere, supply chain issues and labor shortages,
many Americans have been put in survival mode as inflation reaches 9.1 percent.
The Pew Research Center found seven out of 10 Americans believes inflation is the
biggest problem in the country; that over gun violence, climate change and COVID-19.
“We’re experiencing this inflation, we are experiencing nominally what is a recession
but there’s a debate about that, but the job market is extremely strong,” CBC Dean
Jason Engle said.
Engle is a Dean for Organizational Learning at CBC but has taught macroeconomics at
the school. He said the above reasoning is why officials are hesitant to declare a
recession.
But, it sure feels like it. “When things go from two percent, and you’re at eight
plus right now, it’s going to feel a lot different than you’ve experienced before
right? And you may not be mentally prepared for that,” he said.
While officials said inflation is 9.1 percent, Engle said it probably feels worse
than that, because the power of the dollar has decreased. “The purchasing power of
an entry level wage, is lower than it used to be,” Engle explained.
Engle said wages are on the rise. “But, is that keeping up with inflation? And the
answer for a lot of people is no,” he said. Communities also deal with inflation in
different ways.
“If you used to get a large size, maybe you get a small. Get something cheaper, people
substitute downwards during times like this just to get through,” he said. If there’s
something to be learned during this time, Engle said it’s a good idea to expand education
beyond high school.
“More important now than ever that people invest in themselves and what they can do
and for the next five to 10 to 20 years, that’s math and science,” he said. Engle
said years from now, a high school diploma alone may not be enough to ‘get by.’
If you’re feeling overwhelmed by everyday expenses costing more, Engle is confident
we’ll see an improvement soon.
“We’re projecting lower inflation for this next year, and then lower inflation for
the year after that — I think long term, these things even out.”
