How will inflation affect consumer spending?

The multi-million dollar word on every retailer’s lips right now is inflation. Despite the Inflation Reduction Act passing through the House and the Senate, and signed by President Biden, inflation is still poised as an issue for the state of the economy. CNBC recently reported that 70 percent of Americans are looking for extra work to combat inflation. Bloomberg reported that state sales tax receipts are declining as inflation hurts consumer spending. The Federal Reserve is also weighing on hiking interest rates again as a method of curbing inflation and bringing inflation down to 2 percent.