The Reason Inflation Isn't Going Away Anytime Soon

For the past few years, we've heard a lot of promises about inflation. Politicians, economists, and Federal Reserve officials have all tried to assure us that rising prices are “temporary” or “under control.” But step into any grocery store, try to rent an apartment, or attempt to buy a home, and the truth is painfully clear: things aren’t going back to how they were. Inflation isn't just lingering — it's becoming a permanent feature of the American economy. And the reasons behind it go much deeper than just supply chain disruptions or post-pandemic recovery. At its core, this new wave of inflation is being fueled by corporate greed, misguided government policy, and a financial system that benefits from keeping things exactly the way they are.

Let’s start with corporate America. When the pandemic hit, businesses were quick to raise prices, blaming everything from labor shortages to supply issues. And at first, those explanations made sense. But as supply chains stabilized and labor markets recovered, something strange happened: prices didn’t come back down. Instead, many companies used the chaos of the pandemic as cover to quietly boost their profit margins. And it worked. Over the past two years, we've seen record profits across industries — not because costs were out of control, but because corporations realized they could charge more and get away with it. In many cases, inflation has turned into a tool, not a threat. It’s being used to justify prices that are higher than necessary, while executives and shareholders cash in.

Meanwhile, the government's primary strategy to “fight” inflation has been through the Federal Reserve’s aggressive interest rate hikes. On paper, this is supposed to reduce demand, slow the economy, and bring prices down. But in practice, it’s making life more difficult for average Americans while doing very little to address the root causes of inflation. High interest rates mean that mortgages are unaffordable, small business loans are more expensive, and credit card debt becomes even more crippling. At the same time, banks and lenders are profiting off these higher rates, raking in money while ordinary people struggle just to keep up with monthly payments. The Fed presents itself as the solution, but it’s increasingly clear that it’s just part of the problem. The policies it implements are outdated, broad, and often hit the wrong people the hardest.

One of the clearest examples of this disconnect is the housing market. Home prices have soared in recent years, and with mortgage rates now well above 7%, the idea of owning a home is completely out of reach for millions of Americans. Even renting has become nearly impossible in some cities, with landlords raising prices at unsustainable levels. While some of this is tied to low inventory and high demand, a significant part of it comes from the financialization of housing — investors buying up homes to flip or rent, corporations turning real estate into a commodity rather than a basic human need. Instead of addressing this, our government has largely stood by, offering minimal relief while the gap between those who can afford housing and those who can’t continues to grow.

Inflation is also being sustained by a basic supply and demand imbalance, especially in sectors like food, energy, and transportation. But again, these imbalances are not being solved — they’re being monetized. Companies see a chance to make more money, and they take it. It’s not just the economy reacting to pressure; it’s businesses leaning into that pressure and using it to justify prices that go far beyond what’s necessary to cover costs. And as long as consumers don’t have a choice — as long as we have to eat, drive, and live somewhere — we’re stuck paying the price.

What makes this all worse is the sense of helplessness. We're told inflation is too complex to understand, that it's the result of global factors beyond our control. But that’s not entirely true. Inflation is being shaped by conscious decisions — decisions made in boardrooms, at central banks, and in Congress. And those decisions tend to favor the powerful over the vulnerable. As long as corporations are allowed to price gouge, as long as banks are rewarded for high rates, and as long as the government refuses to step in with meaningful regulation or policy reform, inflation will continue to be a long-term reality.

In my view, inflation isn’t going away anytime soon — not because it has to stay, but because the people in power don’t actually want it to go away. It benefits too many institutions. It pads profits, inflates asset values, and keeps workers scrambling just to stay afloat. Until we start addressing the deeper systems that enable this — corporate price manipulation, a weak housing policy, an outdated central banking strategy — we’ll be stuck in this high-price environment for years to come. And that’s the real truth: inflation is no longer just an economic issue — it’s a political one, a structural one, and a reflection of who our economy is really designed to serve.