17/10/2023 – 13:53
The fall in food prices in September once again eased the cost of living perceived by low-income families, while more expensive fuels put pressure on inflation felt by the richest, reported this Tuesday, 17th, the Institute of Applied Economic Research ( Ipea).
The Ipea Inflation Indicator by Income Range shows that prices in the economy went from a rise of 0.13% in August to a fall of 0.02% in September for the very low-income family segment. For the high-income group there was an acceleration, from 0.24% in August to an increase of 0.57% in September.
In September, the main inflationary relief came again from the food and beverage group, reflecting the fourth month of consecutive falls in the prices of food for consumption at home.
“Just like in previous months, in September, the deflation of important items such as beans (-7.6%), wheat flour (-3.3%), potatoes (-10.4%), meat (-2. 9%), poultry and eggs (-1.7%), milk (-4.1%) and soybean oil (-1.2%) contributed to a strong decompression on inflation rates, especially for families with lower incomes, given the weight of these items in their consumption baskets. Although to a lesser extent, the falls in the prices of electronic devices (-0.8%) and personal hygiene products (-0.7%) meant that the household and health and personal care articles groups also contributed negatively to the inflation of families with lower purchasing power”, explained technician Maria Andreia Parente Lameiras, in the Ipea Conjuncture Letter.
In the opposite direction, increases in electricity (1.0%) and gasoline (2.8%) put pressure on the domestic budget in all income classes.
“It is observed, however, that for the higher income segments, in addition to the increase in fuel prices, increases of 13.5% in airline tickets and 4.6% in transport via app generated an even stronger contribution than transport group, given the importance of these services in the budget of these families. Similarly, the adjustments of 0.7% for health plans and 0.5% for recreational items and services explain the impact exerted by the health and personal care groups and personal expenses on the inflation of the classes with greater purchasing power” , pointed out Ipea.
As a result, accumulated inflation in the 12 months ending in September was 6.41% in the high-income bracket and 3.90% in the very low-income bracket.
The Broad National Consumer Price Index (IPCA), calculated by the Brazilian Institute of Geography and Statistics (IBGE) and used by Ipea to calculate inflation by income range, went from an increase of 0.23% in August to increase of 0.26% in September. The accumulated rate in 12 months was 5.19% in September.
The Ipea indicator separates the price variations measured by the IPCA into six family income ranges. The groups range from a family income of less than R$2,015.18 per month, in the case of the very low income range, to a monthly family income above R$20,151.76, in the case of the highest income.
#poor #people #feel #deflation #September #compared #inflation #richer #people #Ipea