Published March 28, 2022
Feds, interest rates and inflation, oh my!
So many of us are trying to understand how and in what ways inflation is effecting our every day lives. In a sea of weird online bots, trolls and bs news articles, it’s tougher than ever these days to find unbiased information, with relevant research based facts.
As we’re heading into this 2022 version of hot girl summer, largely without masks and travel restrictions, so many of us find ourselves unable to afford to road trip with the fam. With gas prices notably bumming us out more than ever we are currently asking; why is it so darn expensive for people to simply exist?! One partial source of the fill up cost nightmare is the war between Russia and Ukraine. Aside from petrol, even buying the cheapest of groceries has become expensive. If your car craps out, you have virtually zero affordable options with car prices inflated like crazy. And while the rates aren’t outrageous, home buyers are looking at higher mortgage interest rates than a year or two previous.
Why have the basics become so over priced just as California is reopening and we are expecting things to be getting back on track?
The gist seems to be something like this;
?The Feds are increasing interest rates to put the brakes on inflation rising. When home buyer interest rates and car loans etc. get higher, people scramble less to get in on that good deal. The Feds raise interest rates to slow the economy down and chill out the inflation, bringing down those prices and getting a foot up on the post pandemic supply chain issues.
For people who were unimpressed with the moves the Federal Reserve made during the pandemic , with the who, how and when people had access to income, and where that money came from, its not a huge shock to be facing new iterations of financial stressors from that fall out. This is what coming out some bad times life looks like folks, we have got to keep our heads up and ride the wave. At least for those of us that live close enough to a city, there are stolen bikes readily available for purchase on the daily, with no demand in-crease price hike.
