Alaskans are rethinking their spending habits as record inflation hits the state

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Alaskans are rethinking their spending habits as record inflation hits the state
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In an Alaska Public Media survey, Alaskans said they're buying less meat and expensive produce while stocking up on bulk items. Rural respondents said brutal cost hikes are making it harder to afford basic necessities.

Natasha Price looks for sale produce at Carrs in South Anchorage on Thursday, July 14, 2022. “My husband is very particular with his ketchup, being from Pittsburgh, so he wants Heinz,” she said. “So this is where I really get into it these days.”

This kind of calculus is new for Price. But with record inflation driving up the price of basics, it’s her norm now.from a year ago. It’s one of the highest jumps in the nation. She said she’ll keep some things on her list until she finds them at a better price somewhere else. If they’re dry goods, she might even order them on Amazon.“Grapes have gone up a lot, too. Red grapes are my favorite fruit, and it has to be like a special occasion for grapes. Sort of sad,” she said.

“Another one that has a big weight was housing,” said veteran state labor economist Neal Fried. “That was up by 6.6%. You have to go back to 1982 to find that kind of over the year increase.” After a brief period of deflation toward the start of the COVID-19 pandemic, inflation has taken hold of the nation’s economy. There are many reasons for this. Pandemic-related supply chain disruptions and labor shortages have forced up the price of goods. Demand for goods and energy is also bouncing back and driving up prices, said Fried.

“Last year, I just kind of blew off the herring fishing. But this year we went out and got a bunch of herring, and we’re getting our net ready for salmon. And we’re gonna try to jar and put away some salmon and just try to keep our freezers full to combat the prices,” Tessier said.

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