Inflation's Silent Impact on American Family Businesses

According to the Small Business Association, there are more than 33 million small businesses across the country that employ more than 60 million people. They are a valuable driver of the economy but have felt the unprecedented changes in the American economy more than any other sector, mostly in wages, lack of employees, and, as one cashier said who has been here for decades, “inflation, inflation, inflation.”

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When they close, the loss is more profound than people understand. There would not have been tears this past week if the people of Ferri’s hadn’t touched their lives in some small yet significant way.

The hardware store located in the basement of Ferri’s building is set to stay open, Silvestri said, adding they are hopeful another independent grocer might come in and have a go at it.

“We shall see. Our closing is certainly going to have an impact.”

Ed Morrissey

Inflation has a corrosive and compounding impact, especially on buying power, that eventually forces changes in consumer spending patterns. It's easy to support the local small business when you're spending power remains stable and predictable. When it begins eroding much faster than income growth can cover, small businesses are the first to feel the damage. 

When your government pretends it's "growth," or "transitory," or is the fault of "corporate greed" rather than their own incompetence, it forces changes in voter behavior. That's what happened in 1980, and it seems about to happen again. 

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