June CPI exceeded expectations and was the fastest pace for inflation in four decades

by Erik Randolph | Jul 13, 2022

June CPI exceeded expectations and was the fastest pace for inflation in four decades

Key Points

Consumer Price Index (CPI) rose by 1.3
June CPI exceeded expectations
Fastest pace for inflation in four decades

Today, the U.S. Bureau of Labor Statistics announced that in June the Consumer Price Index (CPI) rose by 1.3, not seasonally adjusted. Year over year, the CPI has gone up 9.1% in the last 12 months. The June CPI exceeded expectations and was the fastest pace for inflation in four decades.

The Georgia Center for Opportunity’s (GCO) take: “This new inflation reading ranks among the worst monthly inflation rates in U.S. history, and the worst in recent history,” said Erik Randolph, GCO’s director of research. “We have to go back to March 1980 — the last year of the Carter administration — to find a higher monthly inflation rate. The bottom line is that we may not have reached peak inflation, and there’s no telling how long the price level crisis will persist. Meanwhile, the rhetoric from the White House and Congress will do little to rectify the situation. There needs to be new thinking within the Washington Beltway.”

Georgia experts blame federal government at least partly for state’s inflationary woes

by Georgia Center for Opportunity | Jul 13, 2022

Georgia experts blame federal government at least partly for state’s inflationary woes

Georgia isn’t immune to the highest inflation in decades, and local pundits say the federal government is at least partly to blame.

On Wednesday, the U.S. Bureau of Labor Statistics announced that the Consumer Price Index for All Urban Consumers increased 1.3% in June and 9.1% over the last 12 months. Both increases are seasonally adjusted.

Meanwhile, Erik Randolph, the Georgia Center for Opportunity’s director of research, said the country might not have even reached peak inflation, and federal lawmakers should consider a new approach to fix inflation.

“This new inflation reading ranks among the worst monthly inflation rates in U.S. history, and the worst in recent history,” Randolph said in a statement. “We have to go back to March 1980 — the last year of the [President Jimmy] Carter administration — to find a higher monthly inflation rate.

“The bottom line is that we may not have reached peak inflation, and there’s no telling how long the price level crisis will persist,” Randolph added. “Meanwhile, the rhetoric from the White House and Congress will do little to rectify the situation. There needs to be new thinking within the Washington Beltway.”

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the U.S. Bureau of Labor Statistics reported the unemployment rate remained at 3.6%

by Erik Randolph | Jul 11, 2022

the U.S. Bureau of Labor Statistics reported the unemployment rate remained at 3.6%

Key Points

Total nonfarm payrolls for the U.S. rose by 372,000
Unemployment rate remained at 3.6%.

On Friday, the U.S. Bureau of Labor Statistics reported that total nonfarm payrolls for the U.S. rose by 372,000 in June and the unemployment rate remained at 3.6%. The increase was higher than expected.

The Georgia Center for Opportunity’s (GCO) take: “The job numbers are seen as positive overall, but the real story is at the state level where economically free states are performing so much better than more restrictive states,” said Erik Randolph, GCO’s director of research. “Of the 14 states that have recovered all their jobs lost due to the COVID-19 pandemic, 12 of them are governed by leaders more friendly to economic freedom. Recent migration data show that businesses and workers are leaving more restrictive states — like California and New York — to migrate to more free states, like Georgia, Texas, Florida, and Tennessee. These states are far better positioned to weather an economic recession as well.”

Georgia’s unemployment rate now stands at a record low of 3.0%

by Georgia Center for Opportunity | Jun 20, 2022

Georgia’s unemployment rate now stands at a record low of 3.0%

Key Points

Georgia is one of 14 states to fully recover from pandemic-related job loss.
States with severest lockdown are still struggling.
There’s been a decline in labor force participation.

Georgia’s unemployment rate now stands at a record low of 3.0% in May, according to new data from the U.S. Bureau of Labor Statistics released on Friday.

The Georgia Center for Opportunity’s (GCO) take: “Georgia is now one of only 14 states in the U.S. that have fully recovered from pandemic-related job loss,” said Erik Randolph, GCO’s director of research. “The states that imposed the severest lockdown measures due to COVID-19 are still struggling, and likely will be for months to come. All told, Georgia is in excellent company as one of the top states in job recovery. That being said, it’s important to remember that unemployment rates can be misleading. Since the pandemic, we’ve witnessed an acceleration of the decline in the labor force participation rate. Particularly concerning is the persistent problem of prime-working-age males being absent from the labor force. The number is estimated to be around 250,000 men in Georgia in 2021. A major policy goal in our state must be efforts to reengage this men in the labor force.”