The reality of economic conditions is, we either experience, inflation, recession, or some condition, in – between! In recent memory, over the course of time, it usually is, a matter – of – degree, because, it seems, regardless, what the so – called, experts, claim, prices appear to go – up! We are experiencing, what appears to be, an inflationary period, in the past few months, with prices, rising, in nearly, every area of life! Prices of homes, cars. building materials, groceries, etc, all, are more expensive! However, it is important to remember, and consider, we just went – through, one of (if, not, the worst), pandemics, in this nation’s history, including: quarantines, business closings, supply – chain challenges/ disruptions, etc, and, no one, knows, for sure, what the future, might bring! Is this period, going to be, a longer – term, or shorter – term, challenge/ obstacle? With, that in mind, this article will attempt to briefly, consider, review, examine, and discuss, the possible causes, perceptions, concerns, strategies, and actions – forward.
1. Causes: Simply, speaking, inflation is an extended period of rising prices, across the economic – spectrum! Precisely, what causes this, varies, but, most of us, recall, several inflationary periods, as well as other periods, of steadier, economic conditions/ costs/ pricing! How much does the pandemic, have to do, with what we are currently, experiencing, and what else, may be factors? Because, of concerns, because of unemployment, business closings/ challenges, government subsidies, federal deficits, and, historically – low, interest rates, many components, of our economy, are impacted!
2. Perceptions: Our citizens’ perceptions have a significant impact, on our economy. When, consumer confidence, is higher, people, spend more freely, and, across – the – board! When, it isn’t, the overall, economic conditions, slow – down!
3. Concerns: The concerning part, of inflationary conditions, is our fears, of losing ground, to the ever – increasing, cost of living! How long, will people be willing to pay, the huge increase, in the price of buying a house? How long will interest rates, remain, at historic lows? When food, gasoline, and, most other things, become more expensive, and, eventually, salaries/ wages, no longer, keep – up with that pace, what will happen to the overall economy?
4. Strategies: This nation, politically, is a divided country! We have never witnessed, the degree of partisan politics, we see today! How much, should the government, subsidize, what should be the priorities/ goals, and for how long? How much is too much, versus, too little? Perhaps, the greatest, potential difference, may be, the inability of our elected officials, to look, at the bigger – picture, in a relevant, sustainable manner, as opposed, to taking the path of least resistance, and using the populist approach?
5. Actions: What the end – result, and ramifications, of inflationary periods, may depend upon, the strategies, and actions, those, in positions of leadership, pursue, and take!
Wake up, America, and, recognize, the potential impacts, of inflation, both, in the shorter, and longer – periods! Will you demand, responsible action, or accept, the same – old, same – old, excuses, etc?
