It is possible that prices will stabilize in the new year. Global supply chains are slowly recovering from the wounds of the COVID recession. And domestic demand is already poised to decline, as the American Recovery Plan’s stimulative measures fade away. But the Omicron variant is once again throwing the stability of supply chains into doubt. And U.S. households still have exceptionally high stockpiles of savings that could sustain high levels of consumer demand well into 2022. At present, market indicators suggest that next year will witness significant rent hikes. And many food producers have already announced impending price increases; snack-industry titan Mondelez — maker of Oreos, Ritz, and Chips Ahoy — has put a 6 to 7 percent increase in prices on its list of New Year’s resolutions.
Who's Afraid of Price Controls?
America is suffering from the fastest rise in consumer prices in nearly four decades. For months, inflation has been outpacing workers’ nominal wage gains, thereby depressing living standards, sowing financial anxiety, and raising the poll numbers of America’s increasingly anti-democratic opposition party.
It is possible that prices will stabilize in the new year. Global supply chains are slowly recovering from the wounds of the COVID recession. And domestic demand is already poised to decline, as the American Recovery Plan’s stimulative measures fade away. But the Omicron variant is once again throwing the stability of supply chains into doubt. And U.S. households still have exceptionally high stockpiles of savings that could sustain high levels of consumer demand well into 2022. At present, market indicators suggest that next year will witness significant rent hikes. And many food producers have already announced impending price increases; snack-industry titan Mondelez — maker of Oreos, Ritz, and Chips Ahoy — has put a 6 to 7 percent increase in prices on its list of New Year’s resolutions.
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It is possible that prices will stabilize in the new year. Global supply chains are slowly recovering from the wounds of the COVID recession. And domestic demand is already poised to decline, as the American Recovery Plan’s stimulative measures fade away. But the Omicron variant is once again throwing the stability of supply chains into doubt. And U.S. households still have exceptionally high stockpiles of savings that could sustain high levels of consumer demand well into 2022. At present, market indicators suggest that next year will witness significant rent hikes. And many food producers have already announced impending price increases; snack-industry titan Mondelez — maker of Oreos, Ritz, and Chips Ahoy — has put a 6 to 7 percent increase in prices on its list of New Year’s resolutions.
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