This morning’s Consumer Price Index (CPI) report shows inflation at 8.2% year-over-year in September – compared to 8.3% in August – and a 0.4% rise month-to-month. This follows Vice Chair Lael Brainard’s acknowledgment at Monday’s meeting of the National Association for Business Economics that corporate profiteering is a salient factor behind higher prices.
Groundwork’s Chief Economist Rakeen Mabud responded to today’s report with the following statement:
“Today’s inflation report is proof of what we’ve been saying for months: Raising interest rates isn’t working, and the Fed’s overly aggressive actions are shoving our economy to the brink of a devastating recession.
“Supply chain bottlenecks, a volatile global energy market, and rampant corporate profiteering can’t be solved by additional rate hikes. Now that Fed officials are finally recognizing the role of profiteering, it’s time for Chair Powell and the Fed to step aside and for Congress to step in.”
Email email@example.com to speak to Dr. Mabud about today’s CPI report and visit endcorporateprofiteering.org to learn more about the link between corporate profiteering and inflation.