Favorite pandemic activity of Americans? Purchases
Americans’ penchant for uninterrupted shopping during the ongoing COVID-19 pandemic is likely to trigger an increase in inflation, according to National Retail Federation chief economist Jack Kleinhenz in a report. announcement by the group Wednesday (January 5).
Kleinhenz does not expect the latest flood of coronavirus cases in the United States and around the world, fueled largely by the omicron variant, to lead to an economic slowdown or a complete shutdown of the business.
“The impact of omicron on consumer demand is uncertain, but people who stay home because of the variant are more likely to spend their money on retail products rather than on services like meals. dining or in-person entertainment, ”Kleinhenz said in the statement. “This would put additional pressure on inflation, as supply chains are already overloaded across the world.
“Each successive variant has slowed the economy but the degree of the slowdown has been less.”
Consumers may feel more confident when it comes to spending money if they are fully vaccinated or if they continue to hear reports that the omicron variant is milder than some of the others, Kleinhenz said.
The seven-day U.S. average of new COVID-19 infections is over 553,000 through Tuesday (January 4) – more than double the previous week, according to CNBC analysis from Johns Hopkins University The data.
Related: Antitrust Won’t Help Fight Inflation, Says Former Treasury Secretary Larry Summers
Former Treasury Secretary Larry Summers tweeted December 28 that the Biden administration is trying to use an antitrust policy to fight inflation – and that strategy won’t work.
Biden has reportedly sought help from antitrust authorities in an attempt to contain price increases across the country, asking government agencies and independent agencies to identify possible anti-competitive behavior in the U.S. economy.
Most economists agree that using an antitrust policy is not the right tool to fight inflation. Summers tweeted that the “hipster Brandeisian antitrust”, which has many followers in the Biden administration, may raise prices rather than lower them.
NEW PYMNTS DATA: AUTHENTICATION OF IDENTITIES IN THE DIGITAL ECONOMY – DECEMBER 2021
On:More than half of American consumers think biometric authentication methods are faster, more convenient, and more reliable than passwords or PINs, so why are less than 10% using them? PYMNTS, working with Mitek, surveyed more than 2,200 consumers to better define this perception gap from usage and identify ways in which businesses can increase usage.