| Rise in Staple Prices Outpacing Luxury Goods. A new analysis shows inflation has led to a greater increase in prices of staples needed for basic daily life than it has on luxury goods. According to the Washington Post, prices for basics, including groceries, gasoline and healthcare, have risen more than nine percent over two years ago. By contrast, prices for luxuries, including restaurant meals, alcoholic beverages, new cars, furniture and clothing, have risen just 2.4 percent. Meanwhile, increases in earnings for non-managerial workers were just over half the increase in staple costs, at five percent. The rise in staple prices is attributed to increasing demand for oil, but also ethanol, which drives up food prices by making food crops more scarce. |
