The effect of the turbulent economy and inflation on Wyoming
CHEYENNE, Wyo. (Wyoming News Now) - If you have been facing some post-pandemic struggles, you are not alone.
With the federal reserve hiking interest rates to cool inflation last week, local businesses wonder about the long-term effects on their bottom line after the pandemic.
“I did notice a little bit of a decrease of people coming into the store and I’m a little bit worried about summer with as high as the gas prices are. As far as traveling, this is my busy time. This is when people are coming to visit Cheyenne, and I am a little bit worried about the gas prices affecting as many people coming into town,” said Devon Von Krosigk, Owner of Desperado Depot and Drifter Dreamer Bridal.
There is still a wait-and-see approach as State of Wyoming Economists see if the rate hike will bring stability or take us into a possible recession.
On the plus side, Wyoming’s unemployment rate is low at 3.2 percent, and authorities say the mineral sector, leisure, and hospitality are on an upswing.
But the recent average CPI or consumer goods and services has increased by 8.6 percent, the highest it’s been in 40 years.
“Every facet of the economy, every economic sector, you’re seeing high prices. I don’t think a lot of people know what the peak is if we’ve reached the highest inflation rate. Obviously it’s the highest inflation I’ve seen in my lifetime. I think for a lot of people,” said Amy Bittner, Principle Economist -State of Wyoming Economic Analysis.
Krosigk also says she’s seen about a 5 percent increase in shipping costs from overseas suppliers.
Experts say these increases are both local and global, thanks to the pandemic, international tensions, disrupted supply chain and manufacturing issues.
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