Inflation has changed the way many Americans shop. Now, those changes in consumer habits are helping bring down inflation.

Fed up with prices that remain about 19%, on average, above where they were before the pandemic, consumers are fighting back. In grocery stores, they’re shifting away from name brands to store-brand items, switching to discount stores or simply buying fewer items like snacks or gourmet foods.

More Americans are buying used cars, too, rather than new, forcing some dealers to provide discounts on new cars again. But the growing consumer pushback to what critics condemn as price-gouging has been most evident with food as well as with consumer goods like paper towels and napkins.

In recent months, consumer resistance has led large food companies to respond by sharply slowing their price increases from the peaks of the past three years. This doesn’t mean grocery prices will fall back to their levels of a few years ago, though with some items, including eggs, apples and milk, prices are below their peaks. But the milder increases in food prices should help further cool overall inflation, which is down sharply from a peak of 9.1% in 2022 to 3.1%.

    • dragontamer@lemmy.world
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      9 months ago

      The American consumer only changes our habits after we run out of money and enter significant credit card debt.

      Which is worse this year because interest rates are way higher, leading to significant profits for credit card companies.

      Stupid American consumer remains stupid.

      https://fred.stlouisfed.org/series/CCLACBW027SBOG

    • fluxion@lemmy.world
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      9 months ago

      We’ve accelerated efforts to buy out cheaper competing brands and create more monopolies

    • rdyoung@lemmy.world
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      9 months ago

      Some people have. Others know how to get the most out of limited resources. Things like shopping Costco, BJs, Sams, etc and watching for close dated meat at your usual grocery store, finding local farms to get some meat and veggies from, etc. Local farms may be more expensive on some things but much higher quality across the board and some things will actually be cheaper.