Heritage Experts: October Inflation Numbers Show Working Families Have Effectively Lost $7,400 Thanks to Bidenflation

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Heritage Experts: October Inflation Numbers Show Working Families Have Effectively Lost $7,400 Thanks to Bidenflation

Nov 10, 2022 2 min read

WASHINGTON—New data released Thursday showed that Bidenflation continues to devastate working Americans across the country. Prices rose 7.7% over the last year and 0.4% in the month of October. Core prices, which exclude food and energy, climbed 0.3% in the same month and 6.3% over the last year, over three times its target rate.  

Since October of last year, the prices of many consumer staples have risen sharply, including lunchmeats by 19.1%, eggs 43.0%, flour 24.6%, and milk 15.4%. Other necessities have seen large price increases over the last year, like health insurance up 20.6%, natural gas 20.0%, and gasoline 17.5%. 

EJ Antoni, research fellow in regional economics with The Heritage Foundation’s Center for Data Analysis, released the following statement in response: 

“The continued inflation plaguing Americans is the direct result of the Federal Reserve printing money to finance runaway spending by Joe Biden and a Congress that has willingly enabled him. Prices have risen so much faster than wages under Biden that the average family has lost $6,100 in real annual income. Higher interest rates have increased borrowing, costing the typical family another $1,300 annually. 

 

“This has effectively cost families $7,400 in income under Biden, and aspirations like the American dream of homeownership are now far out of reach for many. The mortgage payment on a median priced home has increased 91%, or $910 a month since Biden became president—that’s $10,900 more a year for the same home and $328,000 more over a 30-year mortgage. 

 

“Whether a family owns a home or rents, it will cost 19% more on average to stay warm this winter. With their budgets already stretched thin, many families do not know how they will pay their heating bills. Families cannot afford to live in Biden’s America.” 

Joel Griffith, research fellow in the Roe Institute at The Heritage Foundation, also released the following statement:  

“Today’s painful numbers don’t fully reflect the pain experienced by families. Inflation is a direct result of politicians recklessly abandoning common sense and stewardship throughout the past couple of years. In 2020, Congress passed trillions of dollars of “bipartisan” “Covid-19 relief”. The impact of this gusher of money was delayed—but as President Biden triples down on this recklessness, Americans acutely feel the impact.

 

“Families are suffering the consequences of the Federal Reserve-financed government spending spree. Many are siphoning savings and maxing out credit cards just to gas up the car ($1500 extra a year now vs. 2020) and buy groceries (up 12.4% this past year, easily $1800 extra a year for a family of four). Home ownership has never been less affordable, with prices and mortgage payments reaching all-time highs relative to household income. Monthly mortgage payments on a typical home are $1,000 higher now compared to last year. Renters have not been spared. Median apartment rental costs have jumped more than 24 percent since the start of 2021. Renters in numerous cities have experienced rent increases well in excess of 30 percent. 

 

“The solution to the mayhem is a respite from the government spending increases, money printing, tax hikes, regulatory extravaganza, and war on energy.”  

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