Community leaders respond to slowing inflation
Chattanooga financial expert says inflation could be down to four percent in July
CLEVELAND, Tenn. (WDEF) — After a year of fast-climbing prices, inflation is finally, seemingly beginning to cool down.
Financial analyst Chris Hopkins says in the past three-to-four months, inflation has dropped from just over 9% to 7.1%.
As the Tennessee Valley anxiously awaits the holidays, one man in Cleveland says dropping prices, especially this time of year, make a great gift.
Rob Alderman’s Facebook community “What’s Happening Cleveland, TN,” has grown in one year from 7,000 to 25,000 local followers.
This holiday season, it’s being utilized to provide Christmas relief to locals in need.
Alderman says inflation has certainly made it harder.
“It’s not a momentary issue of inflation,” Alderman said. “It’s a compounded inflation kind of throughout the year. And then you find yourself at the holidays when most people are hoping to actually have a little bit more [resources], and you just don’t have it.”
However, in Christmas fashion, good news is on the way, as CBS News reports that inflation “sharply” slowed in November.
Hopkins says prices of gasoline, electronics, lumber and more are beginning to significantly drop.
“It’s very good news for all families, but more particularly for some of those right on the edge, to get a little bit of relief going into the holidays — to be able to get one more gift for the kids or to be able to afford to fill up the tank and go see grandma,” Hopkins said.
Hopkins says not quite everything is cooling down just yet, such as grocery and airfare prices, but he believes inflation will continue to shrink throughout 2023.
Alderman says that if more in the community can feel relief from tight budgets, they can then use what extra they have to help others.
“That’s music to my ears — inflation dropping, gas being more accessible, rent being cheaper, mortgage payments coming down,” Alderman said. “If inflation drops, I think we’ll see benevolence grow.
Hopkins also says that wages have increased “substantially” this year.
He says if prices continue dropping, it will be household incomes rising in 2023 and 2024 rather than inflated prices.