{"id":1550966,"date":"2022-07-12T15:19:29","date_gmt":"2022-07-12T19:19:29","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1550966"},"modified":"2022-07-12T15:19:39","modified_gmt":"2022-07-12T19:19:39","slug":"more-small-businesses-are-calling-inflation-their-single-most-important-problem","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/more-small-businesses-are-calling-inflation-their-single-most-important-problem\/","title":{"rendered":"More Small Businesses Are Calling Inflation Their \u2018Single Most Important Problem\u2019"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">22<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Fmore-small-businesses-are-calling-inflation-their-single-most-important-problem%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1550966&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><p>As <a href=\"http:\/\/dailywire.com\/topic\/inflation\">inflationary<\/a> pressures continue to stifle the <a href=\"http:\/\/dailywire.com\/topic\/economy\">economy<\/a>, American small <a href=\"http:\/\/dailywire.com\/topic\/business\">business<\/a> owners are increasingly pessimistic, according to a Tuesday report from the National Federation of Independent Businesses (NFIB).<\/p>\n<p>The group\u2019s Small Business Optimism Index declined to 89.5 \u2014 a 3.6 point drop, marking the sixth consecutive month in which the metric stayed below the nearly five-decade average of 98. Rising inflation is top of mind for business leaders, with 34% of owners calling the phenomenon their \u201csingle most important problem\u201d \u2014 the highest level since 1980.<\/p>\n<p>\u201cAs inflation continues to dominate business decisions, small business owners\u2019 expectations for better business conditions have reached a new low,\u201d NFIB Chief Economist Bill Dunkelberg remarked in a <a href=\"https:\/\/www.nfib.com\/content\/press-release\/economy\/small-business-expectations-for-future-conditions-hit-all-time-low\/\">press release<\/a>. \u201cOn top of the immediate challenges facing small business owners including inflation and worker shortages, the outlook for economic policy is not encouraging either as policy talks have shifted to tax increases and more regulations.\u201d<\/p>\n<p>From May to June, the net portion of owners expecting real sales to increase fell by 13% to hit a net negative of 28%. However, 69% are raising average selling prices, while only 4% are reporting lower selling prices.<\/p>\n<p>The Producer Price Index (PPI) <a href=\"https:\/\/www.dailywire.com\/news\/inflation-for-businesses-continues-at-double-digit-pace\">increased<\/a> 10.8% from May 2021 to May 2022, according to the <a href=\"https:\/\/www.bls.gov\/news.release\/ppi.nr0.htm\">U.S. Bureau of Labor Statistics<\/a>. The index\u2019s rise was driven largely by energy costs soaring 5% during the month of May and transportation expenses increasing nearly 3% \u2014 a phenomenon that occurred as gas prices surpassed a national average of <a href=\"https:\/\/www.dailywire.com\/news\/gas-prices-hit-grim-national-average-of-5-per-gallon\">$5 per gallon<\/a>, which has since eased to $4.66 as of Tuesday, per <a href=\"https:\/\/gasprices.aaa.com\/\">AAA<\/a>.<\/p>\n<p>White House Press Secretary Karine Jean-Pierre, therefore, told reporters on Monday that Consumer Price Index (CPI) data slated for release on Wednesday will not accurately reflect the current state of the economy. \u201cWe expect the headline number, which includes gas and food, to be highly elevated, mainly because gas prices were so elevated in June,\u201d Jean-Pierre <a href=\"https:\/\/www.whitehouse.gov\/briefing-room\/press-briefings\/2022\/07\/12\/press-briefing-by-press-secretary-karine-jean-pierre-and-national-security-advisor-jake-sullivan\/\">said<\/a>. \u201cGas and food prices continue to be heavily impacted by the war in Ukraine. And there are a few important points to keep in mind when we get this backwards-looking data.\u201d<\/p>\n<p>On the other hand, 19% of small business owners are planning to create new jobs over the next three months, while 50% are reporting that they have job openings they are unable to fill \u2014 a finding that the group characterizes as \u201chistorically very high.\u201d Meanwhile, Biden administration officials have pushed the tight labor market as an economic silver lining.<\/p>\n<p>\u201cWhen we look at where we are economically \u2014 and we are stronger economically than we have been in history,\u201d Jean-Pierre <a href=\"https:\/\/www.dailywire.com\/news\/white-house-again-claims-u-s-stronger-economically-than-we-have-been-in-history\">commented<\/a> last week. \u201cWhen you look at the unemployment numbers at 3.6%, when you look at the jobs numbers, more than 8.7 million of new jobs created, that is important.\u201d<\/p>\n<p>Although the unemployment rate has improved significantly from the 14.7% level <a href=\"https:\/\/fred.stlouisfed.org\/series\/UNRATE\">seen<\/a> in April 2020, the labor force participation rate \u2014 the portion of eligible Americans who either have a job or are actively looking for one \u2014 <a href=\"https:\/\/www.dailywire.com\/news\/americans-continue-to-opt-out-of-the-workforce\">continues to lag<\/a> behind pre-recession levels, contributing to inflationary pressures as business owners are forced to hike wages.<\/p>\n<p>Even as nominal wages rise, real average hourly wages \u2014 which account for the impact of inflation \u2014 <a href=\"https:\/\/www.bls.gov\/news.release\/realer.nr0.htm\">dropped<\/a> 3% from May 2021 to May 2022, meaning Americans must tighten their budgets to experience the same standard of living seen last year.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>As inflationary pressures continue to stifle the economy, American small business owners are increasingly pessimistic, according to a Tuesday report from the National Federation of Independent Businesses (NFIB). The group\u2019s Small Business Optimism Index declined to 89.5 \u2014 a 3.6 point drop, marking the sixth consecutive month in which the metric stayed below the nearly &#8230;<\/p>\n","protected":false},"author":99,"featured_media":1551001,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"","fifu_image_alt":"","footnotes":""},"categories":[],"tags":[],"class_list":["post-1550966","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry"],"_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1550966","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/99"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=1550966"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1550966\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/1551001"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=1550966"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=1550966"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=1550966"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}