New York (CNN Business) Prices are climbing all over the place as the economy is reopening. But for lower-income earners — who were already hit hardest by the pandemic — the sudden price spikes are squeezing their budgets even further. When necessities get more expensive , consumers with less disposable income, who already spend a bigger share of their money on essentials, feel it first. The pandemic has exacerbated America's inequality problem, and lower-income workers have been disproportionately affected by economic hardship over the past year. But if prices rise too quickly and severely, consumers will pump the brakes, and that could have huge consequences for economic growth.

Source: CNN May 13, 2021 15:45 UTC