AIER’s Everyday Price Index Increases Nearly 1% in January 2023
The American Institute for Economic Research (AIER) has released its latest report on the Everyday Price Index (EPI) for January 2023, and the results show a nearly 1% increase from the previous month. The EPI is a measure of the prices of goods and services that are commonly purchased by households in the United States. It includes items such as food, housing, transportation, and healthcare, among others. The index is designed to provide a more accurate picture of the cost of living for the average American than traditional measures such as the Consumer Price Index (CPI). According to the AIER report, the EPI increased by 0.9% in January 2023, driven primarily by higher prices for food and energy. Food prices rose by 1.2%, with particularly sharp increases in the cost of meat, dairy products, and fresh produce. Energy prices increased by 1.1%, with gasoline prices up by 2.3% and electricity prices up by 0.8%. Housing costs, which make up the largest component of the EPI, increased by a more modest 0.4%. Rent prices rose by 0.5%, while the cost of owning a home increased by 0.3%. Healthcare costs also increased by 0.4%, with higher prices for prescription drugs and medical services. The AIER report notes that the increase in the EPI is consistent with broader trends in the economy, including rising inflation and a tightening labor market. The report suggests that these factors are likely to continue to put upward pressure on prices in the coming months. Despite the increase in the EPI, the AIER report notes that the overall cost of living in the United States remains relatively stable. The report points out that the EPI has increased by just 2.3% over the past year, which is below the rate of inflation and suggests that households are still able to maintain their standard of living. Overall, the AIER’s latest report on the EPI provides a valuable insight into the cost of living for the average American. While the increase in prices in January 2023 is a cause for concern, the report suggests that households are still able to manage their expenses and maintain their quality of life. As the economy continues to evolve, it will be important to monitor the EPI and other measures of inflation to ensure that households are able to keep up with the rising cost of living.