New report from the Department of Labor show the biggest increase in inflation in 39 years.
FILE – In this April 29, 2020 file photo, a shopper wears a mask as she walks through the meat products at a grocery store in Dallas, Wednesday. Wholesale prices, boosted by rising food costs, increased 0.8% in May 2021, and are up by a record amount over the past year, another indication that inflation pressures are rising since the economy has begun to re-open following the pandemic lockdowns. (AP Photo/LM Otero) (AP Photo/LM Otero)
Fox News contributor Sean Duffy and FOX Business’ Jackie DeAngelis discuss economic policy that could mitigate inflation concerns
Bloomberg gave some interesting advice on Saturday for American families that are struggling with inflation.
In an article titled, “For Americans Shocked by Inflation, Argentines Have Some Advice” was written by Bloomberg reporters Patrick Gillespie and Ignacio Olivera Doll which included the suggestion that Americans spend their paycheck right away and borrowing more.
“In a high-inflation economy, money that sits in the bank is losing value. Each day, those $100 on deposit buy a little bit less. As a result, many Argentines spend their paychecks as soon as they receive them, carting away weeks’ worth of groceries in a single shopping trip, even if some of it — excess meat, chicken, fish — will sit in the freezer for months,” Gillespie and Doll wrote.
They added “And don’t hesitate to borrow money to finance some of those big purchases. If you can get a loan at a rate below inflation — something that’s possible for many Americans today — go for it. Inflation will make it easier to repay the loan in coming months and years.”
Twitter users soon reacted to the idea of spending more in the middle of rising inflation rates.
“Bloomberg next week –‘Some of the advice on how to cope with rising inflation includes: Stop using cash and switch to bartering,'” Sen. Ted Cruz advisor Omri Ceren tweeted.
Journalist Ian Miles Cheong wrote, “America is turning into the Weimar Republic with financial magazines advising people to spend their paychecks as soon as they get paid. Hyperinflation is coming.”
Former investment banker Carol Roth quoted a line from a deleted World Economic Forum video writing “You will own nothing and you will be happy.”
According to a new Labor Department report released last week showed inflation rose 6.8%, the biggest increase in 39 years. As inflation continues to hurt Americans, some media figures have chosen to either ignore or insist that inflation is not an issue.
MSNBC’s Joy Reid said in November that “Consumer confidence is at its lowest level in a decade, according to a University of Michigan survey, and that lack of confidence has translated into a drop in Biden’s approval rating in part because Republicans are seizing on inflation and blaming Joe Biden for it personally.”
Fox News’ Cortney O’Brien contributed to this report.
Lindsay Kornick is an Associate Editor for Fox News. Follow her on Twitter at @lmkornick.