Inflation’s Broadening Impacts

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Source: Stanford.edu

By Emma Wu

The development of inflation that was imposed on fuel due to the Russia-Ukraine War was meant to make fuel more expensive, thereby avoiding support of Russia. However, instead of fuel prices rising, food, shelter, and medical services also rose in cost. This leads to a profound impact on the entire American population, as millions soon find such necessities out of their cost range. 

New vehicle prices have increased 0.8% in the month alone. Costs for shelters, house-related expenses, and rents have increased 0.7% as well. Not just these expenses increased, but food costs grew dramatically. Food costs increased nearly 13.5% over the past year alone. Some items contributing to this drastic growth of costs are eggs and bread. In addition, medical care services have increased 0.8%, as well as veterinary costs, increasing nearly 0.9% to 10%. Oil is actually the greatest increase in price. Oil has been over a 4% inflation year by year throughout the entire pandemic.

All in all, the inflation of fuel that was imposed during the war has increased costs of many supplies and materials for the general population alone. With this inflation, there have been many unintended consequences within our economy. Hopefully, this inflation will be able to stall in the future and bring the economy and prices back down to affordable and manageable levels.