Medical costs jump in August by largest amount in 32 years, CPI shows
Higher rents and surging medical and prescription-drug costs are putting a dent in the wallets and pocketbooks of American consumers, new government data show.
The consumer price index rose 0.2% in August, according to a government index that tracks the cost of living. Economists polled by MarketWatch had expected a 0.1% advance.
More expensive housing, especially rent, and medical care was behind the increase. Medical care rose 1%, the fastest rate since 1984, the Labor Department said Friday.
The cost of prescription drugs also soared 1.3%, bringing the increase in prices over the past year to 6.3%. That’s the largest year-over-year increase in two years.
Higher drug prices have drawn criticism from lawmakers in Washington, especially Democrats, in the wake of a controversy involving Mylan, the maker of the EpiPen. The company jacked up the price so much that a public uproar ensued, forcing the company to scale back the increases.
Also read: Mylan’s EpiPen price increases are Valeant-like in size, Shkreli-like in approach
Auto insurance has also gotten more expensive. The cost of insurance jumped 0.5% in August and it’s risen 6.5% in the past year.
Excluding the volatile food and energy categories, so-called core consumer prices climbed 0.3%.
Full article at:
http://www.marketwatch.com/story/inflation-jumps-02-in-august-cpi-shows-2016-09-16
The consumer price index rose 0.2% in August, according to a government index that tracks the cost of living. Economists polled by MarketWatch had expected a 0.1% advance.
More expensive housing, especially rent, and medical care was behind the increase. Medical care rose 1%, the fastest rate since 1984, the Labor Department said Friday.
The cost of prescription drugs also soared 1.3%, bringing the increase in prices over the past year to 6.3%. That’s the largest year-over-year increase in two years.
Higher drug prices have drawn criticism from lawmakers in Washington, especially Democrats, in the wake of a controversy involving Mylan, the maker of the EpiPen. The company jacked up the price so much that a public uproar ensued, forcing the company to scale back the increases.
Also read: Mylan’s EpiPen price increases are Valeant-like in size, Shkreli-like in approach
Auto insurance has also gotten more expensive. The cost of insurance jumped 0.5% in August and it’s risen 6.5% in the past year.
Excluding the volatile food and energy categories, so-called core consumer prices climbed 0.3%.
Full article at:
http://www.marketwatch.com/story/inflation-jumps-02-in-august-cpi-shows-2016-09-16
No comments:
Post a Comment