Why does inflation hit poor hard.?

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2026-05-17 07:05

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Inflation disproportionately affects the poor because they typically spend a larger portion of their income on essential goods and services, such as food, housing, and transportation, which often see the most significant price increases. Additionally, low-income individuals have less financial flexibility and savings to absorb rising costs, making it harder for them to maintain their standard of living. As prices rise, their purchasing power diminishes, exacerbating existing economic inequalities.

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