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Also keep in mind that groceries, or rather food in general, only comprise in the neighborhood of 10% of the average household budget. So if we're just talking
by zuminator 5y ago
Also keep in mind that groceries, or rather food in general, only comprise in the neighborhood of 10% of the average household budget. So if we're just talking about food, if you're paying 50% more, that is just a 5% increase in your overall expenses.
And as far as your rent going up by 30%, that's offset by some people whose rent actually went down by a lot during the early pandemic when people were fleeing the cities and bargains were to be had. And some people who don't pay rent at all, but pay fixed-rate mortgages which will go up by zero percent over the life of the loan. So you can see how that could significantly nerf the total inflation affecting that household.