Producer Price Index Shows Small Business Margins Continue to be Eroded By Bidenflation
Alfredo Ortiz, president and CEO of Job Creators Network, released the following statement in response to today’s Producer Price Index, which rose by 2.3% over the last year, with core PPI rising by 3.4%.
“Wholesale prices continue to increase at a relatively high rate, eroding small businesses’ already thin profit margins. For more than two years, these rising input costs have left small businesses with no other choice but to try to raise prices, alienating their customers and reducing demand. Federal Reserve interest rate increases to slow producer prices and overall inflation is creating turmoil in the banking industry and threatening small businesses’ access to credit. According to JCN’s latest SBIQ poll, 59% of small businesses are concerned that bank failures/instability will negatively impact their business. To meaningfully cut inflation without hurting small businesses, the Biden Administration and Congressional Democrats must agree to rein in reckless spending as proposed by House Republicans and JCN’s American Small Business Prosperity Plan, an eight-point policy playbook to bring small businesses and the economy back.”