Article Summary –
Summary
Lisa Peoples-Crafton, a nurse in Pennsylvania, is among many Americans struggling with high grocery costs, which Senators Bob Casey and Elizabeth Warren attribute to corporate greed rather than inflation. At a campaign event, the senators promoted the Price Gouging Prevention Act, aiming to curb excessive price hikes by large corporations, which have seen profits increase significantly more than inflation rates. Warren criticized Casey’s opponent, Dave McCormick, suggesting that Republican control of the government would exacerbate financial difficulties for American families due to unchecked corporate power.
Lisa Peoples-Crafton, a registered nurse from Wyndmoor, Montgomery County, used to save for vacations. Now, she sets aside most of her paycheck for groceries and necessities.
“I’m also concerned about the cost of groceries, especially since I have a family, with my children still with me and my grandchild,” Peoples-Crafton said. “Our prices have increased so much that our shopping costs a lot now.”
Peoples-Crafton joined about 250 people at Temple University’s Ambler campus to hear U.S. Sens. Bob Casey and Elizabeth Warren discuss corporate greed and rising consumer costs. At the campaign event for Casey, a three-term Democratic incumbent running against Republican Dave McCormick in November, the senators claimed corporations are hiking prices under the guise of inflation and making record profits, a practice they call “greedflation.”
The senators urged colleagues to pass the Price Gouging Prevention Act, which bans “grossly excessive” price increases and allows the FTC and state attorneys general to enforce it.
“You see with all kinds of food and grocery stores people paying more, and these big corporations are laughing all the way to the bank,” Casey said.
Casey noted that from July 2020 through July 2022, inflation rose 14%, while corporate profits surged by over 74%, nearly five times the rate of inflation, according to Federal Reserve data. Despite cooling inflation and dropping food prices, a Pew Research Center report shows Americans remain worried about the cost of goods.
Food prices began rising in 2020 due to the COVID pandemic, increasing by about 3.5% in 2020 and 3.8% in 2021, the USDA reported. They surged 9.9% in 2022 due to the avian flu and the war in Ukraine. In 2023, food prices grew by 5.8% and are expected to continue dropping in 2024.
Casey and Warren argue it’s not just the pandemic and war causing high food prices, but corporations blaming inflation while raising prices out of greed.
“We’re talking about the big guys here,” Casey said. “We’re talking about the biggest conglomerates in the world that are jacking up prices with impunity, and we’re not going to take it anymore. We’re going to fight back and hold them accountable.”
Warren, who has repeatedly criticized corporate leaders for raising food prices, accused them of exploiting inflation fears to increase profits.
“Well, as long as they’re talking about prices going up, instead of just passing along those price increases, which would have had an increase but would have been modest, huh, this is our big chance. We can jerk our prices even higher and raise our overall profits.” Warren said. “That’s price gouging, and that is why we are fighting that.”
Warren praised Casey’s efforts to address corporate price gouging. Since last November, Casey has issued a series of reports on corporate price hikes and the Price Gouging Prevention Act. At a Senate subcommittee hearing chaired by Casey in July, residents detailed how rising consumer costs are harming them economically.
“This is about concentration of corporate power,” Warren said at the Sept. 20 forum.
Moderated by Democratic state Sen. Maria Collett, Warren criticized Casey’s opponent, former hedge fund head McCormick.
“You can elect a hedge fund guy to go to Washington to watch out for — I don’t think it’s going to be you,” Warren said. “Or you can elect somebody like Bob Casey, who is in this fight for you.”
Warren warned that if Republicans win control of the White House and Congress in November, it would worsen price gouging.
“If you think price gouging is bad now, wait until the Republicans are in charge. We just want a level playing field, a place where people can buy in a competitive market, not a place where giant corporations squeeze every last nickel from consumers.”
The discussion of price gouging resonated with Pennsylvanians. Yvonne Davis, a retiree from Wyndmoor, attended due to her economic concerns.
“I came out because of the inflation — the greedflation is so rapid out here,” Davis said. “Gas is high; shopping is crazy, so I’m not comfortable with moving to anything other than Democratic.”
Other attendees showed support for Casey, Warren, and Democrats as the Nov. 5 election nears.
“I think the outcome of this election is going to determine the whole future of the country,” said Karen Martin, a retiree from Upper Dublin. “Pennsylvania is an extremely important state, and the issues discussed today are critical for people to hear about.”
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