Americans’ concern over inflation has inflated to its highest levels in nearly 40 years.
A new Gallup poll found that close to one in five Americans, or 17 per cent, cited inflation as their biggest economic concern.
The latest survey figures from between 1 March to 18 March are up from 10 per cent in February, 8 per cent in January and the highest ever recorded by Gallup since 1985.
The only era worse on Gallup’s record is from the early 1980s, when 52 per cent of people cited inflation as the main concern following the "stagflation" of the 1970s.
Americans’ concern over rising prices does not appear to be transitory, with 59 per cent worrying about the cost of living "a great deal".
Inflation is an even bigger concern than the cost of fuel, which only 4 per cent of Americans list as their top worry. The cost of fuel has risen toward $5 a gallon across the country.
Consumer prices rose 7.9 per cent in February over 2021 in what is the fastest pace of inflation since January 1982, when prices rose by 8.6 per cent.
"Inflation doesn’t dominate Americans’ perceptions of the most important problem facing the country today the way it did in the early 1980s, but it’s more top-of-mind than it’s been in over three decades and appears to be taking a toll on Americans’ broader economic confidence," Gallup said in the survey.
As prices began to rise in 2021, President Joe Biden repeatedly said over the summer that higher prices were "transitory".
But that messaging was dropped by November before the White House acknowledged in February to misreading the inflation threat, according to administration officials quoted anonymously by CNBC.
They point to including heavy influence on the White House by the Federal Reserve, big-spending, traditional forecasting and a lack of urgency in appointing a leader of the Fed.
Among non-economic issues that worried Americans surveyed by Gallup, the main concern was the government and its poor leadership.
