Inflation Rate Highest in 40 Years

Prices rose 7 percent in December, the fastest inflation pace in 40 years.


The consumer-price index, the government measurement that tracks the prices of goods and services, increased 7 percent in December 2021 compared to December 2020. This is the fastest rate increase since June 1982.

  • Supply chain entanglements, high consumer demand for goods (e.g. used cars) and pandemic-induced low demand for services all contribute to rising prices.
  • Rising housing costs are a particular concern. Housing costs tend to remain high once they increase. This puts pressure on prospective homebuyers amid increasing demand for rental units and leases.
  • High inflation is a challenge for Biden. The Biden Administration at first denied inflation was a concern. Then, they labeled it “temporary,” and now they blame corporations for price gouging.
  • Even center-left economists think the Biden Administration’s conclusions are misguided.
  • Lael Brainard, Biden’s nominee for Vice Chair of the Federal Reserve, plans to testify before Congress that cutting inflation is the Fed’s “most important task.”
  • U.S. CEOs also expressed concern about the “inflation surge.”


reporting from the left side of the aisle




  • National Review dives into the December inflation numbers and examines the options available for Federal Reserve Chairman Jerome Powell going forward to address high prices.
  • The Wall Street Journal broke down the sectors where inflation rose in seven charts.
  • Breitbart covered Sen. Elizabeth Warren (D-MA)’s “fact-free attack” on grocery store chains. Breitbart characterized Warren’s desire to blame grocery store chains instead of the Biden Administration “equal parts dishonest and stupid.”


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© Dominic Moore, 2022