Man viewing receipts in supermarket and tracking prices during inflation – Courtesy: Shutterstock – Image by Denys Kurbatov
The consumer price index (CPI) increased unexpectedly by 3.5 percent in March compared to the same month last year, shattering expectations that the Federal Reserve would lower interest rates any time soon. This suggests that inflation may still be severe in the United States. However, Florida has the worst inflation in the nation right now, with inflation hitting 3.9 percent last month, according to Moody’s Analytics’ analysis of index data based on a three-month moving average.
Governor Ron DeSantis, a Republican, blamed President Joe Biden for the high rate of inflation in the Sunshine State. DeSantis’ recent unsuccessful presidential quest ended with his resignation and his endorsement of Donald Trump in late January.
“The inflation coming in, the report, this is not petering out,” he said on Wednesday in St. Petersburg. “We need to have lower interest rates and I think what’s happened is likely going to prevent that from happening this year. But people are hurting, because all that’s reflected in the cost of things that matter to people—housing, mortgages, groceries.” he continued. “This is, I think, the wages of Bidenomics.”
Early on Thursday morning, after business hours, Newsweek sent an email requesting a response from DeSantis’s spokesperson.
However, why is inflation increasing nationwide—and accelerating in Florida even more?
Due to an increase in the price of gasoline and rental housing, March was the third consecutive month that inflation in the United States increased. Core inflation, which doesn’t include erratic costs like food and energy, increased by 0.4 percent in March compared to February.
The high cost of housing, as well as the cost of auto and house insurance, rent, and transportation, are all contributing contributors to inflation, but they are rising higher in the Sunshine State.
Florida is becoming an increasingly attractive destination for Americans moving across state lines, which has contributed to the rising cost of housing and rent. In recent years, thousands of individuals have relocated to the state in pursuit of warmer temperatures and comparatively reduced living expenses, particularly in the wake of the epidemic. Some individuals have relocated to Florida due to ideological motivations, opting to reside in a state where DeSantis’ conservative views are prevalent.
However, what should be excellent news for Florida—the state that is expanding the second fastest in the nation, after South Carolina, based on data from the U.S. Census—also increased the price of housing, food, and rent in the state. The U.S. Census indicates that Florida’s population increased by 1.6 percent in 2023 with the addition of 365,205 new individuals. The United States Congress Joint Economic Committee reports that Florida’s monthly household inflation expenses have been rising since January 2021.
Due to the increasing risk posed by extreme weather events—which are becoming more severe and frequent due to climate change—the state is currently experiencing an insurance problem. According to News-Press, Florida has the highest average annual rate for home insurance in the nation ($10,996 in 2023). According to Bankrate’s True Cost of Insurance Report, the average yearly premium for auto insurance is close to $4,000.
Following Florida, Tennessee (3.8 percent), Virginia (3.8 percent), South Carolina (3.6 percent), and Alabama (3.6 percent) have the highest 12-month inflation rates.
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Born and raised in South Florida, Krystal is a recent graduate from the University of Miami with professional writing experience at the collegiate and national news outlet levels. She’s a foodie who loves all things travel, the beach, & visiting new places throughout Florida.