Federal Reserve Chairman Jerome Powell warned Wednesday that inflation will continue in the near future, running at least into 2022.
He expressed frustration that focus on Covid-19 and pushing mass vaccination "remains the most important economic policy that we have."
"It's also frustrating to see the bottlenecks and supply chain problems not getting better — in fact at the margins apparently getting a little bit worse," he continued. "We see that continuing into next year probably, and holding up inflation longer than we had thought."
These economic issues are having a big impact across industries, and Dollar Tree, which for decades has fulfilled its commitment to keeping prices at the $1 mark and below, hasn't been spared.
After expanding nationwide from only a handful of stores in Georgia, Tennessee and Virginia, Dollar Tree is breaking the mold and will sell items in some locations that exceed the tantalizing $1 grab-n-go price.
The cost of clothes, cars, food and just about everything else has soared this year as the global economy emerges from a pandemic uppercut and Dollar Tree has not been untouched.
Last month the retail chain said that rising shipping costs would take a bite of $1.50 to $1.60 out of its per-share profits this year. That’s a huge hit for any business, perhaps more so for one founded decades ago steadfastly calling itself “Only $1.00 Inc.” […]
Raising some prices will certainly give the national chain some flexibility and likely more variety on its shelves. But a dollar this year will not buy you what it did in 2020. (AP)
In a statement, Dollar Tree CEO Michael Witynski vowed to stay as true to its roots as possible.
"We will continue to be fiercely protective of that promise, regardless of the price point, whether it is $1.00, $1.25, $1.50," Witynski said.
Not even the Dollar Tree can keep up with Biden’s inflation.
— Senate Republicans (@NRSC) September 30, 2021
Way to go, Joe!https://t.co/oxa9pdvnMO
Dollar Tree is officially pricing items at more than a dollar. We all know why, They can’t survive at $1 or less because of the inflation Biden’s economic plan is producing. Before Biden’s done it’s gonna be ten dollar tree just to stay in business. https://t.co/O3huKv0L3L
— Robby Starbuck (@robbystarbuck) September 30, 2021
Another American institution destroyed by government inflation.https://t.co/hJxe3xwpTj
— Jeff Jacoby (@Jeff_Jacoby) September 30, 2021