Tyler Schipper, an economist and associate professor at the College of Arts and Sciences at the University of St. Thomas, spoke to CNN and WCCO Radio about recent inflation numbers. The consumer price index for August reveled a continued rise in inflation. The development follows labor statistics showing weakening job growth.
From the CNN story:
Consumer prices rose 0.4% in August, driving the annual inflation rate to 2.9%, the highest since January, according to Bureau of Labor Statistics data released Thursday.
“The consumer aspects of this are actually more problematic politically than the tariff aspects are right now for the administration,” said Tyler Schipper, associate professor in economics and data analysis at the University of St. Thomas in St. Paul, Minnesota. “Even if real earnings are up, consumers don’t perceive it that way, and this report indicates that things at the grocery store are still getting more expensive.”
“It’s pretty clear that the labor market has shifted into a lower gear,” Schipper said. “But what consumers are hearing is, ‘my job is at risk, and grocery store prices are still accelerating.’ And I don’t know that a headline Wednesday next week that the Fed cuts interest rates by (a quarter-point) is really going to be the salve that makes the problem go away.”
From the WCCO Radio interview:
Economist Dr. Tyler Schipper from the University of St. Thomas discusses today’s consumer price index numbers and how that affects folks at home.
“Economist expectations were that prices were going to go up because of tariffs. This report reflects that companies are raising their prices because of tariffs. That’s making consumers’ lives harder then they already were,” Schipper said.
“Inflation has actually ticked up compared to the Biden administration. It reflects that inflation has continued to increase, not hitting the Fed’s 2% inflation target.”
