The policies of Biden’s administration is making it more difficult and more expensive to provide goods and services to the American people.
Prices have skyrocketed by 6.2% compared with a year ago with Trump at the helm. This increase marks the largest jump in inflation since the Department of Labor began calculating 12-month rates in 2010.
Under Biden, the Department of Labor revealed its Producer Price Index (PPI) has jumped up each month. From January until April, the price of goods and services has risen 1.3%, 0.5%, 1%, and now 0.6% respectively.
The rise in inflation defied economists’ predictions; financial experts never expected the economy to suffer so severely at such an alarming rate.
The PPI, what was formerly known as Wholesale Price Index, indicates the prices American businesses pay for goods and services. It tends to mirror the more widely known Consumer Price Index, which measures prices paid by consumers. These two numbers are able to accurately predict certain inflation trends.
The producer price inflation data follows the much higher than expected rise in consumer prices, which sent stocks falling amid concerns that inflationary pressures are stronger than anticipated.
Excluding food and energy, prices rose 0.7 percent for the month and 4.1 percent for the year, both well-above estimated increases. Excluding food, energy, and trade services (which measure changes in retail margins rather than prices), prices rose 0.7 percent for the month and 4.6 percent year over year.
Author: Jean Clift