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Article from The New York Times business section:
Higher Costs Are Taking a Toll on Business
Article by Michael M. Grynbaum and Peter S. Goodman
Published August 19, 2008 New York Times Business Section Summary: The articles premise is based on data released from a survey by the Labor Department which highlights that rising prices have infiltrated much of the economy, now both businesses and consumers are being forced to pay higher prices for products or services. "Prices for goods purchased by American businesses surged more than expected in July and have jumped by nearly 10 percent over the last year - sharpest increase since 1981" "The consumer is either going to get smacked around by inflation or a sagging economy. If you're someone who depends on a paycheck, neither one helps you very much." Jared Bernstein, senior economist at the labor-oriented Economic Policy Institute in Washington. "Businesses have been absorbing some of the higher costs themselves while passing on much of the increase to consumers, intesifying the strain on households just as joblessness expands and spending power shrinks." To read the complete article click here
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