Archive for June 14th, 2021

Joe says: “What inflation?”

June 14, 2021

The government reported CPI went up 5% in May.

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Source: WaPo

Though Biden and his team of free-spenders are sanguine, ordinary folks are starting to notice.

Let’s look at a couple of benchmarks…

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Gasoline

Key consumer benchmark: gasoline prices … they’re up a whopping 47% in the past year.

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Housing

Zillow says that the price of a typical mid-tier existing home is up 13.2% over the past year … and is projected to go up another 14% this year … for a combined impact of almost 30%.

The price of new homes is skyrocketing …  in part, because of the almost quadrupling of lumber prices.

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According to CNBC the surge in lumber prices in the past year has added $35,872 to the price of an average new single-family home … which translates to about $15 per square foot … just for lumber!

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Food

The measured CPI for food rose “only” 2.2% in the government calculation.

Many (most?) consumers scoff at the 2.2% number … and benchmark their high volume staples (e.g milk, diapers) or personal favorites.

For example, a Homa family benchmark is the price of an Arby roast beef sandwich.

Not that long ago, Arby would regularly promote the sandwiches at 5 for $5.

Earlier this year, Arby’s went to 5 for $10.

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Now, my price scouts report that an Arby’s roast beef sandwich regularly costs $4 …and the special is 2 for $6  … at $3 a sandwich, that’s up 50% from earlier this year, and triple the price from the good old days.

Ouch.

This inflation thing is getting personal….


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