Americans are feeling the brunt of inflation.
According to a new Gallup poll released Thursday, nearly half — 45% — of people say rising inflationary prices have caused them financial hardship.
Of that group of people, 10% say the financial hardship is severe because they see a rise in prices of everything from food prices to rent. According to a nearly 1,600-person survey conducted earlier this month, a severe difficulty jeopardizes a person’s ability to maintain their current standard of living.
many investors and consumers Be prepared to hold off on higher inflation for a while.
This is especially bad news for low-income families, who face low-budget rooms and more stress with rising costs on the upside. And all of this is happening as the holiday season begins and winter heating costs drop, Gallup said.
The survey shows that low-income survey participants were most likely to feel the pinch of inflation. More than two-thirds (71%) of those earning less than $40,000 a year said inflation was giving them financial hardship and 28% said the problem was serious.
In contrast, 47% of households earning between $40,000 and $99,000 said inflation was causing them hardship and most of them said the problems were moderate. Roughly a quarter (28%) of those making above $100,000 said they were facing an inflationary crisis and it was mostly moderate.
Does politics affect people’s perception of inflation?
In a possible sign of the way politics colors the outlook on the economy and government regulation, Democrats in a Gallup poll were less likely to say they were facing difficulty from inflation than Republicans and independents.
Less than half (37%) of Democrats said they were facing financial hardship due to inflation, compared to 49% of independents, while 53% of Republicans said the same.
People in the three groups said inflation was causing “severe” hardship for them at nearly identical rates, pollsters said. It was 11% for Republicans and independents, and 8% for Democrats.
Democrat President Joe Biden has said he is fighting inflation and doing what he can to reduce everyday costs. One move, he says, is releasing 50 million barrels of oil from the country’s reserves in an effort to lower gas costs for travelers.
At the time Gallup researchers were assessing public opinion, the Bureau of Labor Statistics said the pace of inflation hit a 31-year high in October.
Federal Reserve Chairman Jerome Powell told lawmakers this week that it is “probably a good time” to call inflation “temporary.” Powell said he is retiring the term to speak more clearly about the price hikes and how long they will last.