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Inflation: Causes, Perceptions, Concerns, Actions!

We experience either inflation or recession in economic conditions. Or, somewhere in between. Recent data has shown that this is often a matter – of – degree. It seems that prices are rising, regardless of what the so-called experts may claim. Inflation has occurred in the last few weeks, as prices have risen in all areas of life.

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Prices of houses and cars have risen. Building materials, groceries, and others are all more expensive. However, it is important that you remember and consider that we just suffered one of the worst, if not the worst, pandemics in our nation’s history. This included quarantines, business closures, supply chain challenges/ disruptions, and no one can predict what the future will bring. What is the likelihood of this time being a longer-term, or shorter-term, problem/ obstacle? With that in mind, this article will briefly examine, review, explore, and discuss possible causes, perceptions of concerns, strategies, actions, and steps forward.

1.Possible causesSimply speaking, inflation can be described as an extended period of increasing prices across all economic sectors. While the exact cause is unknown, there are many periods of rising prices, and other periods of economic stability/costs/pricing. What is the relationship between what we are currently experiencing and the pandemic? Many aspects of our economy will be affected by the concerns of unemployment, closing of businesses/ challenges, federal deficits, and historically low interest rates.

2.PerceptionsOur economy is influenced by the perceptions of our citizens. Consumer confidence that is higher leads to more freedom and spending across all sectors. If it isn’t, overall economic conditions slow -down!

3.ConcernsThe most worrying aspect of inflationary circumstances is our fear that we will lose ground to the ever-increasing costs of living. How long will people willingly pay for the large increase in cost of buying a home? How long will interest rate levels remain at historic lows. What happens to the entire economy if gasoline, food, and most other things become more expensive?

4.StrategiesPolitically, this country is divided! We have never seen, or experienced, such partisan politics today. How much should the government subsist? What priorities/ goals should they pursue and for how long? What amount is too much versus too little? The biggest difference in our elections may be their inability to see the bigger picture and make decisions in a sustainable and relevant manner.

5.Take immediate actionThe strategies, and actions taken by those in positions of leadership will determine the end result and potential ramifications of inflationary periods.

America, wake-up! Will you demand that responsible action be taken or will you accept the same – old, same–old excuses?

Richard has owned several businesses, served as CEO, COO, Director for Development, consultant and professionally managed events. He also consulted to thousands leaders, ran personal development seminars and worked in political campaigns for more than 40 years.