FINANCE AND BUSINESS ECONOMICS STAFF
In the News: Inflation: Canadians Saving Money at the Pump in July, but Food Costs Continue to Rise
August 17, 2022 ·
Contributed by: CHCH
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Statistics Canada issued a report today stating Canada’s inflation rate fell to 7.6 per cent in July. This marks the first time in 12 months that the rate has decreased from the previous month.
Gas prices rose 35.6 per cent in July compared to 2021 which was down from a whopping 54.6 per cent year-over-year increase in June.
While Canadians may be saving a bit of money at the pumps this month, the cost of other staples like food, rent, and travel continues to rise.
Canadians are feeling the pinch from inflation as food costs were up nearly 10 per cent compared to a year ago which is the fastest pace since 1981.
William Huggins from the DeGroote School of Business says a recession may be the answer.
“Every time central banks have had to fight inflation in the last 40 years, they have raised interest rates, they have induced a recession, and that has settled things down,” Huggins said.
In Canada, a new app “Too Good To Go” is helping Canadians save cash on groceries while making businesses money at the same time.
“Too Good To Go” is essentially a platform that connects consumers with stores that have surplus food at the end of the day. Instead of throwing that food out at the end of the day, restaurants, bakeries, and grocery stores can make that food available at the end of the day at a discounted price.
“Too Good To Go” has been around for about a year, and has half a million users across the country. In Hamilton, more than 60 businesses have signed up for it.
