Going to the grocery store these days can be troubling for many. Prices are going up and it appears that leaders in Washington have no real solution to the problem. If they listened to economic libertarians they would have a solution (End the Fed), but in the meantime it appears that Americans are going to pay higher prices thanks to rising inflation.
So, who does inflation impact the most? Well, for the poorer American it has the largest impact on their ability to live a decent life. In essence inflation is the poor mans tax.
This can be seen in today’s news that Dollar Tree is raising their prices 25%.
The company — one of America’s last remaining true dollar stores — said Tuesday it will raise prices from $1 to $1.25 on the majority of its products by the first quarter of 2022. The change is a sign of the pressures low-cost retailers face holding down prices during a period of rising inflation.Dollar Tree (DLTR) said in a quarterly earnings release Tuesday that its decision to raise prices to $1.25 permanently, however, was “not a reaction to short-term or transitory market conditions.”Source CNN
Being able to purchase the basic essentials at reasonable prices is a basic economic principle. Altering prices due to government action is in respect tyrannical. Market manipulation hurts everyone in this country and showcases the governments inability to handle the economy. If the market were truly free then this type of price fluctuation would not happen.
Inflation impacts everyone, but in the end it really impacts the people that have less. It is harder for them to sustain based on their income and the government price manipulation. It is one of the worst taxes that can be levied against an individual.