Volunteer State News

As of October 2024, Tennessee experienced a 22.1% increase in prices of goods and services since January 2021, surpassing the national average of 20.7%, according to the latest data from the United States Congress Joint Economic Committee.

This rate indicates a significant rise in the overall cost of goods and services, resulting in an additional monthly cost of $1,060.

The persistent increase in inflation has been driven by various factors, including supply chain disruptions, increased demand, and higher production costs. This overall rise in prices has placed additional financial strain on households across the state, making everyday expenses more challenging to manage.

In 2022, the high rates of inflation significantly reduced the real value of American wages, leading to widespread financial concerns, according to Statista. Many Americans expressed anxiety over the economy and reported worsening financial conditions. The inflation crisis in the United States, mirrored globally, was largely driven by COVID-19-related supply chain disruptions and the impact of the Russian invasion of Ukraine.

In June 2022, the U.S. monthly inflation rate soared to a 40-year high of 9.1%, with annual inflation for the year reaching 8%. Without corresponding wage increases, Americans will continue to experience a decline in purchasing power. Since then, inflation has been cooling at a slow pace, but it still hovers above pre-pandemic levels. In June 2024, it reached 3%, with American families facing a CPI more than 20% higher than in January 2020.

Rank	State	Total Inflation Rate (January 2021 to October 2024)	Extra Spending per Household (January 2021 to October 2024)
1	Arizona	22.1%	$36,219
1	Colorado	22.1%	$40,747
1	Idaho	22.1%	$33,174
1	Montana	22.1%	$34,322
1	Nevada	22.1%	$36,130
1	New Mexico	22.1%	$31,286
1	Utah	22.1%	$39,543
1	Wyoming	22.1%	$35,289
9	Delaware	22.1%	$33,880
9	District of Columbia	22.1%	$46,201
9	Florida	22.1%	$34,940
9	Georgia	22.1%	$30,672
9	Maryland	22.1%	$34,506
9	North Carolina	22.1%	$29,024
9	South Carolina	22.1%	$28,203
9	Virginia	22.1%	$33,025
9	West Virginia	22.1%	$25,357
18	Alabama	22.1%	$27,133
18	Kentucky	22.1%	$26,909
18	Mississippi	22.1%	$25,277
18	Tennessee	22.1%	$28,448
22	Arkansas	20.9%	$23,680
22	Louisiana	20.9%	$26,641
22	Oklahoma	20.9%	$24,627
22	Texas	20.9%	$31,017
26	Iowa	20.6%	$28,701
26	Kansas	20.6%	$31,103
26	Minnesota	20.6%	$35,410
26	Missouri	20.6%	$31,407
26	Nebraska	20.6%	$32,110
26	North Dakota	20.6%	$32,383
26	South Dakota	20.6%	$32,331
33	Illinois	20.5%	$32,970
33	Indiana	20.5%	$28,763
33	Michigan	20.5%	$29,744
33	Ohio	20.5%	$28,359
33	Wisconsin	20.5%	$28,879
38	Alaska	20.2%	$35,639
38	California	20.2%	$35,794
38	Hawaii	20.2%	$34,608
38	Oregon	20.2%	$27,227
38	Washington	20.2%	$30,517
43	New Jersey	19.4%	$31,438
43	New York	19.4%	$30,886
43	Pennsylvania	19.4%	$26,458
46	Connecticut	17.7%	$30,920
46	Maine	17.7%	$24,936
46	Massachusetts	17.7%	$32,555
46	New Hampshire	17.7%	$30,779
46	Rhode Island	17.7%	$26,580
46	Vermont	17.7%	$26,293

* Rounded values for better visualization.