- Inflation in rent is the leading cause
- According to a Survey by the Daily Mail, the average rent rent for small businesses have increased by 20% this year.
- 59% of consumers are spending less money
To make things even worse, the Federal Reserve is still aggressively raising interest rates to fight the 8% inflation we’re experiencing. The Biden policies are putting the Fed in a tough spot, because you need to either increase supply or reduce demand to fight inflation. The Fed can only impact the demand side by raising rates and squeezing money out of the economy. The government has the power to increase supply with policy decisions like deregulation and tax cuts on businesses. However, the Biden administration is doing the exact opposite.