A shortage of workers and talks of rising inflation rates has Southwest Floridians worried. Though some people may not have noticed yet, the prices of food, clothing, and even home improvement supplies are slowly rising.
The price increases are happening everywhere from small businesses to large chains.
Stores such as Tiki’s Clothing, in Punta Gorda, are already known to be expensive.
"We're a full blown boutique, we don't compete with anybody," said the owner of Tiki’s Clothing Matt Nemec.
They keep the store stocked with designer clothes, and even gifts for the family dog, because their target market can afford to pay for it.
"These are people who can travel a lot more, they travel in luxury," said Nemec.
But lately, prices at major Southwest Florida chains are also on the rise.
While you may only feel small changes to your wallet right now, economists predict you could take larger hits in the near future.
"The unemployment rate is at 2.1-percent, that's a 30 year low," said Barbara Hartman of Lee County Career and Services.
The low unemployment rate means that stores such as Lowe’s in Fort Myers have to offer better pay to attract new employees.
"We're substantially above minimum wage," said Lowe’s Operations Manager John Sanford.
"As the wages go up someone is going to have to absorb those costs," said Hartman.
Those costs, when added to the news of rising inflation rates, has customers like Nancy Irwin worried.
"It's too hard for two income parents to make it these days," said Irwin.
Irwin says she is cutting back on her shopping. But many Southwest Florida businesses have not reported any recent drops in their sales.
"So far in this particular area, sales have been good," said Sanford.
But businesses admit that sales numbers could change if the current trend continues. They are also concerned interest rates could rise which could push the cost of living even further and make things worse for the consumer.
Source From Al & Mike News http://alandmike.wordpress.com
