Inflation rate rises 2.4% in May.
With our country already facing a cost of living crisis, things are getting worse.
The inflation rate surged to 2.4% in May.
The year-over-year increase is the 4th month the inflation rate has increased in a row. The 2.4% increase was also higher than expected, as economists had predicted a 2.1% increase.
Costs are up across the board.
Food prices are up 3.5%. Despite a temporary decrease in gas prices (down 3.7%), overall transportation costs are up 3.1%.
If the economy was strong, then this inflation wouldn’t be a big problem.
Unfortunately, the economy is incredibly weak, with the most recent data showing just 0.4% year-over-year growth.
As a result, a 2.4% rise in the cost of living combined with just 0.4% GDP growth means Canadians are getting poorer and the cost of living is vastly outstripping everything else.
This feeds into the affordability crisis in our country. Canadians have some of the highest levels of household debt in the world, and that debt is getting worse. Much of that debt increase is because far-left governments have imposed more and more taxes on everyone, while shackling the growth of our economy. So, to hold onto their standard of living, people are falling further into debt.
As long as the government continues adding more taxes and regulations, the more investment will flee our country, the more good jobs will go elsewhere, and the more life will become unaffordable for a growing number of Canadians.
Spencer Fernando