Fast food restaurants have had the sharpest price hikes during the Biden administration, higher than grocery bills & gas prices
Fast food restaurants have had the sharpest price hikes during the Biden administration, higher than grocery bills & gas prices, per Axios.
The average price of has outpaced wage gains for workers since before the pandemic.
Prices are up 31%, average hourly earnings up 25%.
Zoom in: The average price of "meals at limited services eating places" has outpaced wage gains for workers since before the pandemic, according to the Bureau of Labor Statistics.
Prices have risen by 31%, while average hourly earnings have only increased by 25%.
Adding to the pressure, the Federal Reserve has raised its key interest rate to 5.25% to 5.5% to combat inflation.
This rate hike hits poorer Americans hard, as they often carry balances on their credit cards.
The average credit card APR is now 22%, according to the latest Fed data.
A record 9% of credit card balances became delinquent over the past year, according to the Federal Reserve Bank of New York.
Zoom out: Five months before the election, America presents a tale of two economies.
Wealthier households, benefiting from low fixed-rate mortgages, aren't feeling the sting of the Fed's aggressive rate hikes.
The S&P 500 is up 12% for the year, frequently flirting with record highs.
While poorer Americans are leaning towards Trump, wealthier Americans are gravitating towards Biden.
By the numbers: In 2020, Biden beat Trump 55%-44% in households earning less than $50,000. In households earning between $50,000-$99,000, Biden had an even larger margin, at 57%-42%.
Four years later, both candidates have encroached on each other's leads, according to an April Economist/YouGov survey.
The intrigue: Economists disagree on the extent of wage growth Americans have experienced under Biden when inflation is factored in.
Since the end of 2020, Americans are earning less money, adjusted for inflation, in five out of eight scenarios in an interactive tool from the Hamilton Project.
Biden's advisers can take solace in a new study by the Congressional Budget Office, which shows that Americans across income brackets are spending a smaller share of their income on the same bundle of goods.
However, it's the top 20% who have seen the biggest boost.
What they're saying: "President Biden knows too many families are struggling with prices that remain too high, which is why fighting inflation remains his top economic priority," said White House Spokesperson Jeremy M. Edwards.