Dallas, TX

Surging Prices Are Driving Texans To Food Banks

Matt Lillywhite

Families in Dallas are increasingly flocking to food banks due to the rising cost of groceries. During an interview with NBC News, Trisha Cunningham, CEO of North Texas Food Bank, said people are spending more money on food than in previous years. "They've not recovered yet from the economic impact of the pandemic. They're making it from week to week, and so many are coming back to the food bank to continue to provide for their families."

Some food banks in Texas are struggling to combat financial shortfalls due to the massive increase in demand. It's also worth mentioning that donations have dropped due to many Americans experiencing financial hardship.

"I definitely think inflation and general economic concerns and what's going on in Ukraine, you know, it has people worried," said Feeding Texas CEO Celia Cole. "People tend to be more cautious about how much they donate when they're concerned about sort of what the future holds for them economically."

Unfortunately, things might get worse before they get better. The CEO of JP Morgan Chase, Jamie Dimon, recently warned of an "economic hurricane" on the horizon. "You know, I said there's storm clouds, but I'm going to change it … it's a hurricane. While conditions seem fine at the moment, nobody knows if the hurricane is a minor one or Superstorm Sandy." 

According to Jamie Dimon, the Federal Reserve could accidentally tip the U.S. economy into a recession as it attempts to fight inflation by raising interest rates. Quoting an article published by Fox Business:

"Policymakers are trying to cool consumer demand enough so that prices stop rising, but if they fail, they risk throwing the country into a recession. That elusive sweet spot between curbing demand without crushing the economy is what's known as a soft landing – and history shows that the Fed often struggles to successfully thread the needle between tightening policy and preserving growth."

If the Federal Reserve raises rates aggressively, the economy could crash and unemployment would rise. But if they don't raise rates quickly enough, inflation may spiral out of control. So, the Federal Reserve must perform a delicate balancing act in order to protect both the economy and the livelihoods of Americans.

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