You’ll get a nice greeting when you step into the Logan Island Market, but the bill might not be as nice these days here or anywhere else you get your groceries. Macroeconomist James Feigenbaum said inflation caught us off guard.
“Inflation has shot up much more than most people were anticipating,” Feigenbaum said. “That's where the shock has happened.”
Feigenbaum said grocery stores have been hit hard. The Consumer Price Index reports in February prices for bakery items shot up 1.3%, dairy up 1.6% and eggs and meat up 0.9%. Feigenbaum said this inflation really started in the pandemic, but the war in Ukraine has made it more difficult to control the situation.
“The war is not really causing the inflation, the war is making things worse,” Feigenbaum said.
For places like The Island Market, general manager Steven Emile said inflation means something different to them than it does to big chain grocery stores.
“We have to go through and retag the store on a more frequent basis,” Emile said “Unfortunately, it's just more work.”
For customers, Emile said inflation could change the way you shop.
“Customers were purchasing name brand stuff before, and now they're looking at more generic products, just to maintain the availability in their household for toilet paper or, you know, soft goods,” Emile said.
While prices might get worse before they get better, Feigenbaum said we shouldn’t be too concerned.
“I don't think things are as bad as some people are perhaps wishing they were actually,” Feigenbaum said.
Emile said the Island Market is approaching 100 years and it’s all thanks to loyal customers who are willing to spend a little extra.
