(NationRise.com) – President Joe Biden’s election campaign is facing a new challenge after data revealed that consumer prices rose even higher in February. Overall, prices rose by 0.4%, a higher jump than the 0.3% increase that hit Americans in January. That means a 3.2% increase in prices compared to February of last year, when they were 3.1% higher. Much of the increase was driven by a 3.8% increase in the price of fuel.
Americans – and Biden’s reelection bid – have been hit hard by inflation since he took office. Prices initially soared in 2021 after pandemic restrictions nearly devastated the global supply chain. That same year, Biden also proposed significant tax increases on the manufacturers, distributors, and retailers of consumer goods. Biden originally made the announcement while campaigning in 2020, even as businesses were suffering under the weight of global restrictions enacted in response to the pandemic.
Economists predict that inflation will begin to slow down and decline in 2024. However, they made that exact prediction six months ago. The unexpected rate increases underscored the careful steps taken by the Federal Reserve to slowly reduce interest rates. Still, the overall rate of inflation has dropped from its 2022 height of 9.1%.
The prices of essential services, including car maintenance and healthcare, are rising even more rapidly. Service prices have outpaced the increases that occurred during the pandemic, as have insurance costs. Hospital prices have risen especially fast as they face pressure to drastically increase staff pay, creating higher expenses that have been passed on to patients.
Some prices also dropped in early 2024. Prices for vehicles, furniture, and appliances have fallen as the supply chain continues to recover. Retailers also have more electronics available for purchase than they have since the pandemic started.
Still, the overall increase in inflation has been a top issue among voters ahead of the 2024 presidential elections. A majority of voters believe the Biden administration has done more to help facilitate inflation than stop it. Over 91% also reported feeling concerned about continued price increases.
That’s bad news for Biden’s campaign, as he and former President Donald Trump already face a tight race ahead of November.
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