NEW ORLEANS: Every time I go to the grocery store, I panic about inflation, Caroline Fitzsousa, a bar manager in Baltimore, Maryland, told VOA. And my clients are not happy at work either. 

Due to the rising cost of food items and liquor, we had to increase the prices. People find it frustrating that they have to pay more for the same items that they ordered in the past.

In 2022, global supply chain disruptions, the Russian invasion of Ukraine, stimulative US fiscal policies, and other factors led to the highest level of inflation – and the largest price increase for many goods and services – that the US has seen in four years. I had seen the decade. This disappointment was felt across the country.

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The consumer price index, a gauge of the specific change in the cost of goods and services compared to the previous year, rose 9.1% in June, reflecting the peak of inflation. The index rose 7.7% in October, which economists considered an improvement but one that left the index too high.

In an effort to control inflation, the U.S. The Federal Reserve has been aggressively raising interest rates with a target inflation rate of 2% a year. The effects of rising prices and declining purchasing power have been clear to both consumers and businesses.

Fitzsousa commented on his bar's ability to attract customers. "There are some nights that seem as busy as before the pandemic, but there are also a lot of patches of time when the bar dies down because people can't afford to eat and drink as much," she said.

You hear people complaining about how expensive things are, but there's nothing we can do about it, she continued. This is the fee we should charge if we have to make up for the loss of the pandemic and continue operating. Just more expensive this year.

According to a November poll by U.S. News & World Report and The Harris Poll, 86% of American adults were either very or somewhat concerned about the country's economy and inflation.

In addition, a CNBC All-America Economic Survey found that 41% of US consumers expect to spend less this year than in 2021 as the holiday shopping season gets underway.

According to recent polls, Americans believe the economy and high prices are the biggest issues facing the nation, according to Robert Collins, an urban studies and public policy professor at Dillard University in New Orleans, Louisiana. “It takes the top spot on everything, including crime, border security, the environment and abortion. The economy is on everyone's mind.

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Collins said that while it is a priority, it is a problem that cannot be resolved quickly. He cautions that the relief will be gradual and slow as inflation takes time to come down.

However, the need for relief is urgent for many Americans, including Steve Ryan, a professional poker player and investor living in Las Vegas, Nevada.

He admitted to VOA that he was concerned about his ability to continue to afford to live here. "The stock market has stagnated and it doesn't look like it will recover anytime soon, but I absolutely have to sell my shares at bargain prices because I need to put the money together to pay my rent."

Sadly, the rent is also on the rise. Ryan had to move out after living in his apartment for more than ten years because the cost of renovations had skyrocketed.

I found a new place, but it definitely costs more," he said. And I'm paying for it, even though my income is lower than before. I just might have to move at some point.

The economy created 263,000 new jobs in November, keeping the country's unemployment rate at 3.7%, near a half-century low.

Strong economic growth is usually associated with strong job creation. But over the past two years, many employers have struggled to fill those positions with workers.

I love that employees are getting more power, but we're having trouble hiring the employees we need to run our business because there are fewer people available and more jobs competing for them, FitzSousa in Baltimore he said. Our profit margin is very less as we are a small company. Maintaining the high wages that corporate restaurant groups can afford to pay their employees is challenging.

Employers who pay higher wages to employees typically pass on higher labor costs to customers in the form of higher prices.

Patrick Button, an associate professor of economics at Tulane University in New Orleans, said, "Unfortunately, rising wage workers is not helping the inflation that is helping to fuel it.

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That's what happened to Lisa Martin, a Cincinnati, Ohio, teacher who had to put off buying a home.

"Rent is very expensive and I know that buying a home is a smart move," she told VOA. I am expecting a slight reduction in prices this year.