Inflation in the United States has Decreased

Question

I do not agree with this claim. Prices in the United States have rather increased by a margin rather than decreased. Even though ads may show good deals or cheap products, that doesn't represent the market as a whole. These prices are gonna continue to go up and have a negative effect on the economy in the future, as stated by the International Monetary Fund organization.

Answer 1

Even though the yearly inflation rate has decreased to roughly 2.8%, prices are still 20% more overall than they were prior to the pandemic, according to the BBC's October 2025 inflation coverage and UK Office for National Statistics  statistics it cites.The overall cost of products and services is still around one-fifth higher than it was a few years ago, even though inflation is decreasing. This is why many people still believe that prices haven't really decreased.

Answer 2

According to many credible news sources, Inflation has risen throughout recent years. In an article posted by CNN, journalist Alicia Wallace pulled data from Moody’s Analytics, which showed American households are “spending $208 more than the previous month and 1,043 more than they did in 2021.” However, it is also important that I state that this claim does have some merit; the White House has recently cited BLS and in this we see that the CPI reached its highest level in 2021 and has been shown to fallen since then. While the CPI is a valid source of information regarding inflation rates, it also only tracks consumer spending patterns that change as prices change. Additionally according to forbs the CPI dosn’t even align with the governments definition of inflation, “as a process of continuously rising prices or equivalently, of a continuously falling value of money.” (BLS). The CPI dosn’t calculate the falling value of money. Funny enough too, if the government has a low CPI then the less money the government has to spend on social programs (Social security beneficiaries, food stamp recipients, children on school luch programs). The CPI dosnt also account for rent prices increasing, commuting expense, increasing taxes, and home prices. So in short and in m yoopinion this claim that inflation has fallen is false as the measurement the government only uses a faulty source of measurement and neglects other important cost of living factors that have overall increased.  

News sources

Fact check: Grocery prices are up, not ‘way down’ as Trump claimed | CNN Politics

If You Want To Know The Real Rate Of Inflation, Don't Bother With The CPI

Bureau of labor statistics

12-month percentage change, Consumer Price Index, selected categories

 

Answer 3

1. Overall Summary of Findings

The claim is partially true, depending on how you define “decreased.” After peaking in 2022 (with inflation rates around ~9 %), U.S. inflation has fallen significantly toward more moderate levels (~3 % as of late 2025) according to the Bureau of Labor Statistics (BLS). However, inflation has not returned to pre-pandemic or near the target of ~2 %, and in some recent months there has been a small uptick. So saying inflation “has decreased” is broadly correct, but it lacks nuance around timing, magnitude, and the fact that it remains elevated.

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2. Primary Sources Found

a. BLS Consumer Price Index (CPI) data

• Source: BLS chart of 12-month percent change, CPI. Inflation Calculator US+3Bureau of Labor Statistics+3YCharts+3

• What I learned: The annual inflation rate for the U.S. (all items) reached ~9 % in 2022, then dropped to ~3.0 % in September 2025. For example, data show “Inflation Rate YoY … 3.00% (Sep 2025) vs 2.90% (Aug)” in one dataset. Trading Economics+2Trading Economics+2

b. YCharts / “US Inflation Rate” dataset

• Source: YCharts summary of CPI year-over-year. YCharts

• What I learned: Confirms ~3.01 % inflation as of latest month, compared to higher rates previously; shows trend downward from peaks.

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3. Secondary Sources Found

a. Financial Times – “US inflation falls more than expected to 2.4% in March”

• Source: FT article stating inflation dropped to ~2.4 % in March 2025. Financial Times

• What I learned: This article highlights a substantial drop, signalling inflation cooling.

b. Reuters – “US consumer prices post largest gain in nine months; underlying inflation slowing”

• Source: Reuters piece about December reading ~2.9 % and deceleration of core inflation. Reuters

• What I learned: While the rate was still ~2.9%, the underlying pressures (core inflation) were easing, pointing toward a downward trend.

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4. Potential Biases or Interests

• BLS data: government statistic, generally reliable though subject to methodology issues (e.g., basket weighting).

• YCharts: aggregator; may emphasize trends beneficial to subscribers.

• Financial Times & Reuters: reputable news outlets but will frame data in the context of economic expectations, possibly emphasising “good news” of inflation dropping.

• Also policy makers or administrations may emphasise inflation decreases for political advantage.

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5. Evidence Supporting the Claim

• Annual inflation has fallen from double-digits (~9 % in 2022) to ~3 % by late 2025.

• Core inflation (excluding food & energy) also shows slowing in several reports.

• Multiple months in 2025 show inflation readings below what they were in 2022-2023.

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6. Evidence Undermining the Claim

• Inflation is still above many people’s target (~2 %) and above historical low levels.

• Some inflation components (e.g., shelter, rent) remain sticky or elevated.

• The recent month-over-month reading (for example from Aug to Sep) saw inflation go up slightly (from 2.9% → 3.0%). Trading Economics+1

• Saying “has decreased” without timeframe can mislead: there was an increase first, then decrease.