SOUTH JORDAN, Utah—Johnny and Joanna Galbraith are spending more this year on most items in their budget for their family of three young children.
Some changes they attribute to different spending habits as they ease into post-pandemic life.
Many others are caused by inflation, with overall consumer prices up 5% in May from a year earlier, the biggest surge since August 2008.
Inflation is being fueled by growing demand, as more people take flights to Florida or buy new clothes as they emerge from Covid-19 lockdowns. Supply pressures are also a factor, such as a barge filled with goods getting stuck in the Suez Canal and companies’ difficulty finding employees.
The consumer-price index is the benchmark for inflation and measures what consumers pay for everyday items, including groceries, clothing, recreational activities and vehicles.