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News & Views

Provided by the Investment Professionals of Frost Investment Advisors | October 18 , 2021

The Impact of Inflation

Purchasing Power of Dollar Continues Steady Decline with Sharp Drop in Last Year

The purchasing power of the dollar has steadily declined over the years, especially since 2000, with that trend accelerating recently. In 1983, the dollar purchased about $1.00 worth of goods, and over the last 38 years, that figure has fallen to 36.5 cents. This week’s commentary will look at the impact the recent spike in inflation has had on key components of our daily life, robbing consumers of their purchasing power.

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