Guest Blog: Inflation is making food more unaffordable
Photo courtesy of Creative Commons
By Brandon Nguyen and Daisy Dai
While some Americans are starting this season by counting their blessings, others are counting pennies. It’s no secret that the post-pandemic wave of inflation has made living costs, rent, and most notably, getting food more expensive. A CNBC survey found that 92% of all Americans had to cut back on spending due to these concerns and more than half said they’re buying cheaper alternatives or simply, less food.
While inflation has impacted all Americans, the pain has not been shared equally. Low-income households have been disproportionately affected spending a large portion of their income on categories that have been hardest by inflation, like food. Low-income Americans also have less ways to change their spending habits or investments to fall back or draw from. With the holiday season upon us, this may cause families to cut back on holiday gifts and cherished memories.
Specifically, grocery prices have been steadily rising, increasing 2.4% just last September. Essential items like eggs, chicken, and dairy became more expensive making food less affordable and low-income families with little options, but to face these costs. While news outlets highlight how turkeys became 1 dollar cheaper this year, what they fail to mention is that the cost of a Thanksgiving meal for 10 people this year is 25% higher than 2020.
Photo courtesy of Creative Commons
In 2020, the cost of a 10 person Thanksgiving meal was barely $50. Now, it’s $61.17. Workers are lucky if they get even a consistent 4.5% increase in salary year to year. This cycle of inflation and price increases drive lower income families unhealthy, processed, and chemical filled foods.
Still, fast food restaurants like Chipotle and Domino’s have been raising prices to offset inflation. Laurie Schalow, Chipotle’s chief corporate affairs officer told CNN, “For the first time in over a year, we will be taking a modest price increase to offset inflation.” This leaves little options or alternatives for low-income Americans to get a cheap meal, despite efforts to cut budgets and resorting to unhealthy options, especially those who work long hours or don’t have the resources to afford kitchen equipment.
Desperate Americans may resort to getting into credit card debt, borrowing money, etc. to afford food. Many Americans are dipping into their savings and credit card debt is 20% higher than in May last year.
A lot of factors are also out of people’s control. Extreme weather, the war in Ukraine, supply chain issues, and fertilizer costs have contributed to companies raising prices in order to offset these costs.
With prices rising faster than incomes, the middle and lower class are getting squeezed. Without options, The Community Grocer is working to make it easier for people to eat a balanced diet at affordable prices to tackle food insecurity, economic divides, and health injustices. Based in Philadelphia, TCG will be opening its first store in the next 12 months.
While news outlets highlight how turkeys became 1 dollar cheaper this year, what they fail to mention is that the cost of a Thanksgiving meal for 10 people this year is 25% higher than 2020. In 2020, the cost of a 10 person Thanksgiving meal was barely $50- now it’s $61.17. Workers are lucky if they get even a consistent 4.5% increase in salary year to year. This cycle of inflation and price increases drive lower income families unhealthy, processed, and chemical filled foods. When salary increases don’t match grocery price increases, families have 2 options: cut budgets away from other important bills or eat worse.