Inflation data released Friday showed that prices are continuing to rise. Now small businesses are saying enough is enough.
Consumer price index data released this week showed prices have increased 8.6% in the last year alone, the biggest increase in 40 years. Recent polling finds about half of small businesses fear they could be forced to shut down later this year because of inflation.
Small Business and Entrepreneurship Council President and CEO Karen Kerrigan responded to the inflation, calling on President Joe Biden and Congress to fix the problem, not make it worse.
“Higher taxes and burdensome regulation, which raise costs on businesses, work to fuel inflation,” she said. “The threat of more intrusive and expensive government also restricts investment, which means entrepreneurs are impeded from being an active participant in healing the economy and helping to get our supply chains functioning normally. We are also witnessing what happens when policies punish and prevent energy development at home – higher prices with no end in sight. The costly state of the U.S. economy is not working for small businesses.”
Rising federal debt and the recently surged money supply have helped fuel inflation. Gas prices are also at record highs after hitting new highs every day this month.
“Hopefully there will be an end in sight when it comes to misguided policies that are increasing the pain of American families, and the pain points of small businesses,” she said. “Small business owners and entrepreneurs have had to continually pivot during COVID and now ravaging inflation. It’s about time President Biden and his team pivot as well, and move away from the injurious policies that are digging the U.S. economy into a deep and dreary hole.”